In this article, we go through, step-by-step how to buy loon Bitcoin BCT options on Binance.
Binance offers European-style vanilla options.
If you are interested in comparing crypto option trading sites, you should visit our article about the best crypto option trading platforms.
No Financial Advice, Information only. Do your own research.
Cryptocurrencies are high-risk investments.
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If you don’t already have a verified account with Binance you will need to create an account and make the KYC verification procedure.
1. Binance Crypto Options Marketplace
The first step is to log in and enter the Binance European style Vanilla options marketplace.
- Click on “Derivatives”
- Click on “Vanilla Options”

2. Open a Binance Option Account
Once you are in the Binance crypto option marketplace, you will find a reminder that crypto options are highly risky.
Here, you will also find the button to open a Binance crypto option contract trading account.
However, some countries are restricted due to regulations.
Note: Binance crypto options will not be available to all users of the Netherlands, Germany, Italy, Sweden, Australia and Hong Kong, and retail users of the United Kingdom. Also, there are more countries on the list but they are not specified by Binance.

3. Deposit Funds to Binance Options Account
Click on transfer in the Binance options marketplace to deposit USDT to the options account.
As you can see in the screenshot below, the “Transfer” button is very small but situated right under the top menu in the middle of the screen.

4. Select Binance Crypto Option Contract
Now, click on a Binance crypto option contract you want to trade.
Nomenclature for a Binance Bitcoin option contract
Example of a contract called: BTC-220617-24000-C
- BTC = Bitcoin contract
- 220617 – Expiry date (The 17th of June 2022)
- 24000 – Strike price ($24.000 per Bitcoin)
- C – call option (P – put option)
5. Place Order - Binance Crypto Options
Once you click on a contract from the previous step, you will come to a “Place Order” dialogue box.
Here, you can choose “Custom” order or “BBO” order.
Custom: Are placed based on the user’s limit order price
BBO (Best Bid Offer): Will place the user’s order by selecting the bid 1 or ask 1 price on the order book.
If the order is not filled immediately, it will be placed under “Open Orders”.
6. Binance Crypto Options Expiration Date
Binance European-style Vanilla crypto options let users decide whether they want to exercise their right until the expiration date
How to make a profit between placing the order and exercising a call or put option?
Traders can buy low and sell high to profit from the price difference or vice versa, depending on if it’s a call or put option.
If a user chooses to close all positions before the expiration date, it means that the user gives up the rights to the option contract to someone else.
Users can also wait for the options contract to expire and exercise their rights.
7. How to Exercise the Binance Options?
Let’s say you were bullish on Bitcoin BTC and both a call option you now want to exercise.
Here, are the possible outcomes scenarios
- If the Bitcoin BTC price is greater than, or equal, to the strike price and the trader’s profit is greater than zero, the contract will be automatically exercised. After deducting the premium and the fees, the seller delivers the Bitcoin BTC to the buyer at the strike price and the profit will be settled in USDT. The system will automatically exercise the right, to deduct the settlement price difference from the seller’s premium to the buyer and unfreeze the remaining margin and the premium received from selling the options contract for the seller.
- If the user’s final profit is less than 0, the option contract expires and becomes worthless. The buyer loses the premium paid for the call option to the seller and the seller’s margin will be unfrozen.