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In the future contract the buyers has the rights to buy and the seller has the rights to sell.
In the option contract the buyers have the rights to buy or sell, were as the sellers receive the premium.
In future contract, buyer and seller decide the strike price where as in Options the prices are fixed by the exchange and buyer and seller to chose from the options available. Both future and options has a maturity period. In future, the difference between the strike price and the spot price is settled between buyer or seller as compensation for the benefited party. In Options, the buyer has to pay only the premium to the seller for signing the contract. Any price difference between strike price and spot price would only affect the seller. Seller has to settle the difference to the buyer based on the options (CALL / PUT) signed for.
In future contract provides rights to buyer(Rights to Buy) and Seller(Rights to Sell) at the agreed price.
But in option contract only the buyer gets the rights.
IN future both parties have the right to execise the contract
The price of the share is decided BY BOTH known as strike price
IN the case of option only buyer has the right to exercise the contract
HERE buyer pays premium to the seller to sign the contract
THE price is decided by the exchange and not by the parties concerned
seller has to settle on the due date to the buyer the difference between the optiON price and CMP in case buyer exercised the rightas per option
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