Binance is adding options on more than 1,000 U.S. stocks and exchange-traded funds as the crypto exchange expands its traditional finance offering amid a sharp rise in trading activity for such products.
The options will be offered through Nest Trading Limited, Binance's broker-dealer regulated by the Abu Dhabi Global Market. Nest will act as the introducing broker, routing orders to U.S.-registered Alpaca Securities for execution, clearing, settlement, and custody. The products will not be available to U.S. users, according to a statement shared with The Block.
The contracts are physically settled, meaning that, upon exercise, users receive or deliver the underlying shares of supported U.S.-listed stocks and ETFs, held in custody by Alpaca on behalf of Binance users. Retail users eligible for options trading will be able to buy calls and puts, with maximum potential loss limited to the premium paid, Binance said, adding that it expects additional stock options listings over time.
Crypto exchanges expand into equity derivatives
The launch builds on Binance's broader push into traditional financial products after the exchange rolled out trading for more than 7,000 U.S.-listed stocks and ETFs for customers outside the United States in June. Binance also offers bStocks tokenized securities and equity-linked perpetual futures alongside its crypto services.
