because it seemed like you just wrote the same thing again from the other angle.
No, what we wrote was very different. You said “hedge an asset by selling a certain number of calls and buying a certain amount of debt” and I said, “hedging an option by buying and selling an asset”. Either you are a few steps further down the road and therefore ignoring the basics, or you missed the most basic concept.
First of all, selling calls on the underlying asset doesn’t hedge anything- it justs limits your upside. (Though if you think of it in reverse, i.e. you have sold an uncovered call, buying the underlying asset is is a hedge.) Second, I don’t see how that has anything to do with BSM, which sets prices for derivatives, nothing else.
If you want to talk about dynamic hedging strategies, fine. Just make your question clearer is all I ask 🙂