Options provide protection from volatility by giving investors the right, but not the obligation, to buy or sell a currency at a specified price (strike price). This means that investors can lock in a exchange rate and avoid potential losses from sudden and unexpected currency fluctuations.

Here are some ways options protect investors from volatility:

1. _Price stability_: Options provide price stability by allowing investors to fix a exchange rate, regardless of future price movements.

2. _Downside protection_: Options protect investors from potential losses by capping the maximum amount they can lose.

3. _Upside potential_: Options also give investors the potential to profit from favorable exchange rate movements.

4. _Risk hedging_: Options can be used to hedge against potential risks, such as sudden currency devaluations or economic shocks.

5. _Flexibility_: Options offer flexibility in managing risk, allowing investors to choose their level of protection and exposure.

By providing protection from volatility, options can help investors manage their risk and achieve their investment goals with greater confidence.