TheBlock
Binance is rolling out options on more than 1,000 U.S. stocks and exchange-traded funds through its Abu Dhabi-regulated broker-dealer Nest Trading Limited, routing orders to Alpaca Securities for execution, clearing, settlement, and custody. The contracts are physically settled, meaning users receive or deliver the underlying shares upon exercise, and the products will not be available to U.S. residents. The launch lands on top of TradFi perpetual volume of roughly $433.4 billion in August, up from $29.5 billion in January.
Why it matters
This is a structurally different product from Binance's existing equity-linked perpetuals, which settle in stablecoin and run around the clock. Physical settlement with a U.S.-registered broker-dealer in the back office raises the bar on regulatory hygiene and moves Binance closer to competing with retail brokers on their own turf. Head of Exchange and Trading Shunyet Jan framed the launch as a step toward a "fuller multi-asset platform," joining bStocks tokenized securities and the June rollout of trading on more than 7,000 U.S.-listed stocks and ETFs.
Market impact
Equity-linked perpetuals did $342.9 billion of August's TradFi perp total, versus $410.9 million in January, a roughly 700x ramp in eight months. Bybit is also pushing in: it is set to launch 24/7 options on stock perpetuals on Sept. 17, starting with SpaceX and Nvidia, settling in USDT rather than physical shares. The competitive read is that crypto venues now treat equity derivatives as core infrastructure for retaining active traders, not a side product.
Frequently asked questions
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Who executes and custodies Binance's new US stock options?
Alpaca Securities, a U.S.-registered broker-dealer, handles execution, clearing, settlement, and custody. Binance routes orders through Nest Trading Limited, its broker-dealer regulated by the Abu Dhabi Global Market.
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Are Binance's new US stock options available to US users?
No. The products are not available to U.S. residents, per a statement Binance shared with The Block. Only users outside the United States can trade them.
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How large is Binance's TradFi perpetual futures business?
TradFi perpetual volume on Binance reached approximately $433.4 billion in August, up from $29.5 billion in January. Equity-linked perpetuals accounted for about 79% of that total, or $342.9 billion in August.
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Are Binance's new stock options physically settled?
Yes. 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.
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What is Binance's broader equity product lineup?
Beyond the new options, Binance rolled out trading for more than 7,000 U.S.-listed stocks and ETFs for non-U.S. customers in June, and also offers bStocks tokenized securities and equity-linked perpetual futures alongside its crypto services.
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