Binance Unlocks Bitcoin Options Writing for All Users

Options writing, selling call and put options to collect premiums, is a more advanced and risky strategy compared to simply buying options or trading futures. Until now, Binance restricted this feature to users who met stringent eligibility criteria, such as having VIP-level status, high trade volumes, or substantial asset holdings. As part of earlier announcements, Binance required applicants to have at least VIP 4 status or $50 million of 30-day options notional volume, plus at least $100,000 in account holdings. Access was granted on approval after a lengthy application review.

However, in the new release, Binance announced that all verified users can now write Bitcoin options, eliminating previous thresholds. The move reflects growing retail interest in advanced risk-management tools. Jeff Li, Binance’s VP of Product, described the update as a response to this demand, stating: “Our Bitcoin options products will meet the growing retail demand for more and better trading tools.”

The growth of the Bitcoin options market underscores Binance’s rationale. According to historical metrics, daily Bitcoin options volumes reached above $1 billion by late 2020, a milestone that highlighted increasing institutional and retail engagement. By mid‑2025, crypto derivatives volumes had exploded, comprising the majority of trading activity globally. The substantial rise in options usage reflects growing user appetite for hedging, yield strategies, or positioning based on market views.

Binance has introduced a range of incentives and platform updates alongside the launch. These include trading fee discounts on newly listed options contracts, which span multiple major cryptocurrencies beyond Bitcoin. The exchange also enhanced its Options Enhanced Program for high-volume and institutional users, easing participation requirements and offering more favorable terms. Additionally, Binance standardized the structure of its Bitcoin options contracts, which are settled in stablecoins and feature consistent strike intervals and expiration cycles. Trading and exercise fees are clearly defined to ensure transparency for all users.

Opening options writing to retail traders carries several major implications. Users now have greater flexibility in adopting premium‑earning strategies such as covered calls or cash‑secured puts, techniques once primarily used by institutional or high‑net‑worth investors. By selling options, users can earn fixed premium income but also assume potentially significant upside or downside risk, particularly if positions are not fully collateralized. Binance’s platform reinforces prudent trading through built‑in margin‑call alerts and liquidation protocols, promoting greater risk awareness among users.

The move may also influence competitive dynamics within the industry. While it's still speculative whether other major exchanges like OKX, Bybit, or Deribit will respond by expanding their own retail options-writing offerings, Binance’s decision could prompt broader shifts in derivative access and liquidity across platforms.

While access has broadened, Binance maintains controls on user eligibility and reserves discretionary review rights. Although the feature is now advertised as open to “all users,” certain jurisdictions may remain restricted due to local regulatory frameworks. Binance has clarified that access to writing options is still subject to internal reviews and compliance with region-based requirements.

Regulators globally continue to scrutinize crypto derivatives. In Australia, for instance, Binance ceased offering derivatives after its local entity lost its financial services license in April 2023. Similarly, AUD deposits via PayID remain disabled. So, while Binance continues to operate internationally, localized restrictions may prevent some users from accessing new services.

Options writing also necessitates a deeper understanding of market dynamics, including margin requirements, implied volatility, and settlement risks. These complexities make it potentially hazardous for inexperienced traders. Binance has previously emphasized the importance of responsible trading, and the platform continues to offer educational resources on options mechanics to help users make informed decisions.

Binance has indicated that while Bitcoin options writing is now accessible to all verified users, options writing for other tokens, such as Ethereum (ETH), may be introduced in stages. The decision to expand will depend on user demand, liquidity considerations, and regulatory compliance in each jurisdiction.