Advantages of options on futures contracts versus future contracts include a maximum loss on the options contract of the premium cost of the option, since an option doesn't have to be exercised if rates go the opposite way expected, allowing the spot gain not having to be offset by the futures loss.

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This statement is true. Options on futures contracts do have the advantage of a maximum loss being limited to the premium cost of the option, whereas futures contracts can result in unlimited losses. Additionally, options offer flexibility in allowing the buyer to choose whether or not to exercise the option, based on market conditions, whereas futures contracts require the buyer to follow through with the contract regardless of market movements.

Advantages of Options on Futures Contracts Versus Future Contracts Include