Binance's TradFi Push: 1,000 US Stock Options Shake Up Crypto-Broker Landscape

Binance has struck a new blow in traditional finance (TradFi) with the launch of options trading on over 1,000 US stocks and ETFs. Eligible non-US users can now access physically settled options on US stocks through a single Binance account, with orders routed to US-registered Alpaca Securities for execution, clearing, settlement, and custody via Binance’s Abu Dhabi-regulated broker-dealer, Nest Trading. This expansion follows Binance’s existing offering of over 7,000 US stocks and ETFs and adds to the platform’s growing lineup of traditional financial products. Unlike equity-linked perpetual futures, these options are physically settled, meaning users who exercise them receive or deliver the underlying shares. Binance notes that trading in traditional financial products on the platform has surged, with TradFi perpetual futures volume reaching $433 billion in August—15 times January’s total. As crypto exchanges and traditional brokerages expand into tokenized equities, the onchain stock market has seen sharp growth over the past year. Tokenized stocks now have about $2.6 billion in distributed value, up from roughly $346 million at the same time last year, according to RWA.xyz data. Monthly transfer volume has also climbed 93% over the past 30 days to $25.1 billion, while the number of holders has surged 157% to nearly 2.5 million. Recently, Coinbase brought its B20 tokenized equities to Base, offering eligible non-US users 24/7 access to onchain versions of stocks including Apple, Nvidia, Meta, and Alphabet. These assets can also be integrated into DeFi protocols for uses such as trading and collateralized borrowing. Kraken further deepened its equity push in August, opening access to over 7,000 US-listed stocks for eligible European customers and placing them alongside its growing lineup of tokenized xStocks. In July, US online brokerage Robinhood launched Robinhood Chain alongside a new generation of Stock Tokens available to eligible users in over 120 countries.

Binance’s move underscores the rising demand for traditional financial products within the crypto ecosystem, while the surging popularity of tokenized stocks reflects the accelerating digitization of financial assets. This development signals the gradual erosion of boundaries between traditional and crypto markets, encouraging users toward platforms offering greater flexibility and choice.