Binance has launched physically settled options on more than 1,000 US stocks and exchange-traded funds for eligible non-US users. The new product lets traders hold the actual underlying asset when an option is exercised, rather than receiving a cash settlement, and it's all accessible through a single Binance account.
How physical settlement works
In a physically settled options contract, the buyer who exercises the option receives the actual shares of the stock or ETF, not a cash equivalent. That's a key difference from cash-settled options, which pay out the difference between the strike price and the market price. For traders who want to own the underlying asset, physical settlement removes the extra step of buying the shares separately after a cash payout.
Options themselves are contracts that give the buyer the right, but not the obligation, to buy or sell an asset at a set price before a certain date. With physical settlement, exercising the option results in the transfer of the actual shares. That means a trader who buys a call option on a stock and exercises it will end up holding that stock in their account.
Who gets access
The offering is limited to eligible non-US users. US residents are not included, a restriction that aligns with Binance's existing approach to its global platform. The exchange didn't specify the exact eligibility criteria, but users outside the US can check their account for availability.
For those who qualify, the new options add another layer to Binance's trading tools. The exchange already offers crypto derivatives, and this move extends its reach into traditional equities. The single-account structure means users can manage crypto and stock options side by side, without juggling multiple logins or transfers.
What's in the lineup
The full roster of underlying stocks and ETFs wasn't published in the announcement. Binance said the list includes more than 1,000 instruments, but traders will need to browse the platform to see which specific tickers are available. The exchange noted that the options are physically settled, so the contract terms will reflect that structure.
The move gives international traders a way to participate in US markets without the usual barriers of opening a US brokerage account. For many non-US investors, direct access to American equities has been limited by geography, paperwork, or minimum balance requirements. Binance's single-account model aims to simplify that process.
Eligible users can start trading the new options immediately through their Binance accounts. The exchange said the product is designed for users who want direct exposure to US equities without opening a separate brokerage account.
