Crypto exchanges race to build out options trading
New CapabilitiesKraken launches cash-settled Bitcoin and Ether options as rivals fight for a market Deribit still dominates
July 20th, 2026: Kraken launches Bitcoin and Ether optionsNew here? Follow stories to track developments over time. Create a free account to get updates when stories you care about change.
Overview
Updated Jul 20Kraken now lets traders bet on Bitcoin and Ether prices without touching a single coin. On July 20, 2026, the exchange launched cash-settled options on its Kraken Pro platform, settled entirely in US dollars.
The design borrows from traditional finance: no crypto collateral, no liquidation math tied to a volatile coin. Kraken is chasing a market one rival, Deribit, has controlled for years — and that Coinbase bought its way into for $2.9 billion.
Why it matters
Options let ordinary traders hedge crypto bets or amplify them. The exchange that owns this market controls where billions in trading fees flow.
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A US-based crypto exchange building out a derivatives business to compete with Coinbase and Deribit.
The dominant crypto options venue, holding roughly 85% of global Bitcoin and Ether options open interest.
Timeline
May 2025 July 2026
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Kraken launches Bitcoin and Ether options
Latest New CapabilitiesKraken rolls out European-style, USD-settled BTC and ETH options on Kraken Pro, starting with request-for-quote access for eligible international clients.
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Coinbase closes the Deribit deal
Money MovesThe acquisition finalizes with $700 million in cash and 11 million shares, giving Coinbase Deribit's options liquidity.
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Coinbase agrees to buy Deribit
Money MovesCoinbase announces a $2.9 billion cash-and-stock deal for Deribit, the top crypto options venue.
Historical Context
2 moments from history that rhyme with this story — and how they unfolded.
CME lists Bitcoin futures (2017)
The Chicago Mercantile Exchange, a regulated US derivatives market, launched cash-settled Bitcoin futures. It let institutions bet on Bitcoin without holding it, using a familiar contract format.
The launch coincided with a Bitcoin price peak, then a long slide through 2018.
CME futures became a durable institutional on-ramp and a benchmark for later crypto derivatives.
Like Kraken's options, CME's move bet that traditional-finance formats would pull professional money into crypto. The format, not just the asset, drove adoption.
CME acquires NEX Group (2018)
CME bought trading-technology firm NEX Group for about $5.5 billion to widen its reach across markets. The deal folded a rival's liquidity and infrastructure into a larger exchange.
CME gained a bigger footprint in foreign-exchange and fixed-income trading.
It reinforced a pattern of exchanges buying scale rather than building it.
Coinbase buying Deribit follows the same logic: acquire the dominant venue's liquidity instead of competing for it slowly. Kraken chose to build instead.
