Binance, the world’s largest cryptocurrency alternate, introduced on Monday that it’s opening entry to bitcoin
“choices writing” for all customers. The transfer is a direct response to a big improve in retail demand for extra strategic and complex buying and selling instruments.
Choices are spinoff contracts that permit the purchaser the proper to purchase or promote the underlying asset at a pre-determined value on or earlier than a selected date. A name possibility provides the proper to purchase and represents a bullish guess in the marketplace whereas a put possibility presents draw back safety.
Writing choices refers to promoting name or put, which is akin to providing insurance coverage in opposition to bullish or bearish value strikes within the underlying asset. The author (vendor) is compensated for a similar within the type of an upfront premium.
Subtle crypto holders are identified to write down choices to earn further yield on prime of the spot market holdings.
“Accelerating crypto adoption will improve demand for extra refined liquidity instruments and we’re dedicated to constructing a fuller suite of spinoff merchandise to assist our customers.” Jeff Li, VP of product at Binance, commented on the event.
Binance stated it can preserve sturdy danger administration controls, requiring choices writers to move a compulsory suitability evaluation and submit margin to collateralize their obligations.
The announcement comes because the broader BTC choices market has seen explosive progress, with whole buying and selling quantity hovering over 3200% from $4.11 billion in 2020 to $138.76 billion in June 2025, Binance’s press launch shared with CoinDesk stated.
By enabling a broader consumer base to write down choices, Binance goals to empower merchants to specific market views, handle danger, earn upfront premiums, and implement methods that transcend easy directional bets.
To have a good time the launch, Binance is providing a 20% low cost on Taker and Maker charges for all newly listed choices contracts, together with these for ether (ETH), BNB (BNB), and Solana
. The alternate can be bettering its Choices Enhanced Program for high-volume and institutional merchants, providing decrease qualification thresholds and extra enticing charge constructions.
Learn extra: Coinbase Slides Nearly 20% in Worst Weekly Performance Since September 2024