Binance Adds Physically Settled U.S. Stock and ETF Options

The service launched on September 1, operating through a partnership with Nest Trading Limited as the introducing broker and Alpaca Securities as the clearing broker. Alpaca, a U.S.-regulated firm, holds the underlying shares in custody for users when contracts are exercised. Unlike traditional crypto derivatives, these instruments track U.S. market schedules, generally trading between 9:30 a.m. and 4:00 p.m. Eastern time.

To mitigate risk, the initial rollout is restricted to long-only positions. Users can purchase call or put options but are prohibited from writing contracts or opening short positions. This structure caps potential losses at the premium paid upfront. Before gaining access, traders must complete a suitability questionnaire and sign specific disclaimers. Currently, the platform supports only limit orders, with Binance providing no immediate timeline for the introduction of market orders or more complex multi-leg strategies.