Binance launches options trading for 1,000 US stocks and ETFs as TradFi derivatives volume surges

Binance adds options on US stocks and ETFs

Binance has announced it will offer options trading on more than 1,000 US-listed stocks and exchange-traded funds (ETFs), expanding its traditional finance services. An ETF is a fund that tracks the price of a group of assets, like stocks, and trades on an exchange like a single stock.

The new options will be physically settled, meaning traders receive or deliver the actual shares of the underlying stocks or ETFs when the contract is exercised. These products will be available through Nest Trading Limited, Binance’s broker-dealer regulated by the Abu Dhabi Global Market. Orders will be routed to Alpaca Securities, a US-registered firm, for execution, clearing, settlement, and custody. The service will not be available to users in the United States.

Growth in traditional finance trading

Binance reported that trading volume for traditional finance-linked perpetual futures reached approximately $433.4 billion in August 2026. This marks a significant increase from January’s $29.5 billion, with equity-linked perpetuals accounting for about 79% of the total, or $342.9 billion in August compared to $410.9 million in January.

Key details of the new offering

• Options will be available for more than 1,000 US stocks and ETFs.
• Contracts are physically settled, with underlying shares held in custody by Alpaca Securities.
• Retail users eligible for options trading can buy calls and puts, with losses limited to the premium paid.
• Binance plans to add more stock options listings over time.

Broader push into traditional finance

This launch follows Binance’s June 2026 introduction of trading for over 7,000 US-listed stocks and ETFs for customers outside the US. The exchange also offers tokenized securities, known as bStocks, and equity-linked perpetual futures alongside its crypto services.

Other crypto exchanges are also expanding into equity derivatives. Bybit, for example, plans to launch 24/7 options on stock perpetuals starting September 17, beginning with SpaceX and Nvidia. Unlike Binance’s physically settled options, Bybit’s contracts will be tied to stock perpetuals and settle in USDT, a stablecoin pegged to the US dollar.

Why this expansion matters

Binance’s Head of Exchange and Trading, Shunyet Jan, stated that adding stock options is a key step in the platform’s evolution into a multi-asset service. The move aims to provide users with tools to participate in equity markets, manage exposure, and access strategies typically offered by traditional brokers, all through a single Binance account.

Sources

• The Block