Binance ensures high liquidity at all times on the new Options Platform by lowering trading fees and working closely with a wide pool of experienced institutional market makers. The goal is to reduce slippage and trading costs, which is often a key concern amongst Options traders.

In the following blog post, we explore what Binance Options are, the benefits our new Options Platform offers to traders, and how you can start trading Options today!

What Are Binance Options?

Binance Options are our newest financial instruments that give traders the right, but not the obligation, to buy or sell the underlying asset at a predetermined price and date. This form of crypto-derivatives was built for traders to gain market exposure at a fixed premium, which makes it ideal for hedging against market risks.

Our new Options Platform allows you to buy Call Options, which is the right to buy the underlying cryptocurrency, and Put Options, which is the right to sell the underlying cryptocurrency.

Benefits of Trading Binance Options

Being one of the most versatile financial instruments on the market, Binance Options can offer you additional flexibility and cost efficiencies to complement your trading strategies.

Advantages of Binance Options

Being one of the most versatile financial instruments on the market, Binance Options can offer you additional flexibility and cost efficiencies to complement your trading strategies.

• Competitive Fees - Binance offers one of the lowest option transaction fees in the market to make Options trading cost-effective and accessible to everyone.  
• User-Focused Experience - Binance Options displays an intuitive user-focused interface, combined with API connectivity and convenient ways to switch assets across multiple trading products, giving traders unparalleled operational efficiency.
• Stablecoin Options - Binance Options are priced and settled in stablecoin, which makes cost and profit calculations straightforward for traders even in volatile markets

Why You Should Trade Binance Options

Portfolio Protection - You can hedge your risk via Binance Options. If you are a long-term investor concerned about market volatility, you can buy Put Options to protect your portfolio against downturns and offset the losses

Tailored Strategies - A combination of different Strike Prices, Expiry Dates, and types of Options can help you employ directional or neutral trading strategies to profit regardless of the underlying asset's direction.

Limited Risk - With Binance Options, the maximum losses you can incur are capped to the Options Premium while the upside potential is unlimited for Call Options.

Alternative Trading Opportunities - Options prices are affected by the underlying asset’s price move and other factors such as volatility and time value, allowing you to take positions not just on price directions but also volatility trends.

Low Capital Requirement - You only have to pay the required Options Premium to get the same exposure as holding an equivalent Futures or Spot position. As such, Binance Options are a great alternative for you to amplify trading results due to the lower capital requirements.