Binance Pushes into Wall Street, Adds Options on 1,000+ Us Stocks

Binance is expanding beyond crypto with physically settled options tied to more than 1,000 U.S. stocks and ETFs for eligible users outside the country. The launch comes as traditional-asset trading on the exchange has surged this year, with equity-linked perpetual futures volume rocketing from $410.9 million in January to $342.9 billion in August. Options on Stocks and ETFS Go Live Via Nest Trading and Alpaca Securities The exchange will offer options on more than 1,000 U.S.-listed stocks and exchange-traded funds through Nest Trading Limited, its broker-dealer regulated by Abu Dhabi Global Market. Nest will act as the introducing broker, while U.S.-registered Alpaca Securities will handle execution, clearing, settlement, and custody. The contracts are physically settled. If exercised, users receive or deliver the underlying shares, which Alpaca holds in custody on their behalf. Eligible retail traders can buy calls and puts, with losses limited to the premium paid. U.S. customers are excluded from the service. The rollout builds on Binance’s existing access to more than 7,000 U.S. stocks and ETFs, alongside bStocks tokenized securities and equity-linked perpetual futures. Binance said emerging-market users generated more than 80% of direct stock-trading volume during the first week of that offering. Surging Tradfi Perpetual Futures Volume Drives Expansion Trading data helps explain the expansion. TradFi perpetual futures volume reached about $433.4 billion in August, nearly 15 times January’s $29.5 billion. Equity-linked perpetuals accounted for about 79% of that activity, with August volume reaching $342.9 billion, up from $410.9 million in January, according to Binance data cited in the announcement. Product Type January Volume August Volume Growth Factor TradFi Perpetual Futures $29.5 billion $433.4 billion ~15x Equity-Linked Perpetuals $410.9 million $342.9 billion ~834x Binance Head of Trading: Stock Options Are a ‘Next Step’ Toward Multi-asset Platform Shunyet Jan, Binance’s head of exchange and trading, said stock options are an important next step in Binance’s expansion into a multi-asset platform. “By adding options on selected U.S. stocks and ETFs, we are expanding the tools available to users who want to participate in equity markets, manage exposure, and access strategies that have historically been offered through traditional brokers, all from one Binance account,” Jan said. Crypto Industry Races to Bridge Stocks and Blockchain Infrastructure Binance’s expansion comes as crypto companies race to bring stocks and investment products onto blockchain-linked infrastructure. Robinhood Chain recorded a daily DEX-volume high of $875 million on Aug. 30. Meanwhile, the seven most-traded tokenized stocks generated $4.3 billion in decentralized-exchange volume over the previous 30 days. What Are the Key Features of Binance’s New Stock Options Offering? The options are physically settled on more than 1,000 U.S. stocks and ETFs. Nest Trading Limited (regulated by ADGM) acts as introducing broker, Alpaca Securities handles execution and custody. Eligible non-U.S. retail traders can buy calls and puts with limited risk (premium only). U.S. customers are excluded. Which Broker-dealers Are Involved in This Binance Stock Options Launch? Nest Trading Limited, a Binance-affiliated broker-dealer regulated by Abu Dhabi Global Market, is the introducing broker. Execution, clearing, settlement, and custody are handled by U.S.-registered Alpaca Securities. Is Binance’s Stock Options Service Available to U.S. Customers? No. The service is explicitly excluded for U.S. customers. Eligible retail traders outside the United States can access the options, with emerging-market users already generating over 80% of direct stock-trading volume on Binance. How Does the Physical Settlement Work for These Options? If a call or put option is exercised, the user either receives the underlying shares from Alpaca Securities (for calls) or delivers the shares (for puts). The shares are held in custody by Alpaca on behalf of the user. Losses are limited to the premium paid. What Is the Growth Trend in Binance’s Traditional-asset Trading Volume? TradFi perpetual futures volume surged from $29.5 billion in January to $433.4 billion in August. Equity-linked perpetuals saw even more dramatic growth, from $410.9 million in January to $342.9 billion in August - an approximately 834x increase.