Binance expands into S. stock options
Binance announced on September 1 that it will begin offering options on more than 1,000 selected S. stocks and exchange-traded funds (ETFs). The service is available to eligible users outside the United States, building on the exchange's existing direct equities offering, which already includes access to more than 7,000 S. stocks and ETFs.
According to the announcement, the options are offered through Nest Trading Limited, a broker-dealer regulated by the Abu Dhabi Global Market, which acts as introducing broker. Orders are routed to Alpaca Securities LLC (dba Alpaca Clearing), a -registered self-clearing broker-dealer, for execution, clearing, settlement, and custody. This structure mirrors the arrangement Binance has used for its direct stock trading service, which launched in June.
The product allows users to buy call and put options, each with a fixed expiration date. Contracts are physically settled, meaning that when a qualifying option is exercised, the underlying shares are delivered. For a call option, the buyer acquires the shares at the strike price; for a put, the buyer sells shares at that price. Shares resulting from settlement are held in custody by Alpaca Stevens on behalf of Binance users.
Binance stressed that the options are conventional securities contracts, not tokenized assets. They follow S. market schedules: most supported stock options trade between 9:30 m. and 4:00 m. Eastern Time, with certain ETF and exchange-traded note options continuing until 4:15 m. Pre-market and after-hours trading are generally not supported.
The initial offering is long-only, meaning users can buy calls and puts but cannot write options. To trade, users must complete an options suitability questionnaire and sign a disclaimer. During the first phase, only limit orders are supported. Exercise requests can be submitted up to 30 minutes before expiry.
Broker structure and regulation
Nest Trading Limited is authorized by the Financial Services Regulatory Authority of Abu Dhabi Global Market. Alpaca Securities, which is also a FINRA member, handles execution, clearing, and custody. Binance does not offer these products to S. users, and the exchange warned that the service may be unavailable in some regions.
The launch is part of Binance's broader push into traditional finance. In addition to crypto, users can access stocks, ETFs, bStocks (tokenized securities), equity-linked perpetuals, and now options from a single account, according to the announcement. Shunyet Jan, Head of Exchange and Trading at Binance, said, "Stock options are an important next step in Binance's evolution into a fuller multi-asset platform."
Demand for traditional finance products
Binance provided data showing strong demand for its traditional finance products. During the first week of the direct stock trading launch, users in emerging markets accounted for more than 80% of trading volume. The exchange also reported that TradFi perpetual futures volume reached approximately $433.4 billion in August, roughly 15 times January's $29.5 billion. Equity-linked perpetuals made up about 79% of that activity, with volume reaching approximately $342.9 billion, representing over 800 times growth from January's $410.9 million.
Binance noted that its direct-equities data covered a short period and did not establish a lasting investment trend. A related report indicated that ETFs reached 25% of Gen Z equity trading volume on Binance during early August, though that statistic was not part of the official announcement.
Fees and supported assets
Fees for options trading are primarily paid in USDC, with support for BNB, USDT, USD1, and $U, subject to availability. Users can monitor their options positions through the platform's stock trading interface and Funding Account.
The exchange did not publish a complete list of supported stocks and ETFs in its general announcement. Users must open a stock's price page and check whether an Options tab appears; available expiration dates and strike prices are displayed through the relevant options chain.