Binance Brings Physical Options Trading to Over 1,000 US Stocks and ETFs

Binance continues to expand its reach into traditional finance markets by introducing options trading on over 1,000 US stocks and ETFs for eligible users outside of the United States.

The new feature is made possible through Binance's Abu Dhabi-regulated broker-dealer, Nest Trading, which will provide the options offering. Orders are then routed to US-registered Alpaca Securities for execution, clearing, settlement, and custody.

This move extends Binance's existing equities offering, which already covers over 7,000 US stocks and ETFs. However, it's worth noting that these options are physically settled, meaning exercising the contracts results in delivery of the underlying shares, rather than cash or equity-linked perpetual exposure.

Binance cited a sharp rise in traditional-finance derivatives activity on its platform, with August volume reaching approximately $433 billion for TradFi perpetual futures. This growth suggests that Binance's expansion into traditional finance tools is gaining traction among traders and investors.