AQ

BTC Options Venue Analysis

Comprehensive Breakdown by Open Interest & Volume
2026-02-16
Confidential
Total BTC Options OI
$65B
Exceeds futures OI ($60B)
IBIT Share
~52%
$33B OI — #1 venue
Deribit Share
~39%
$26B OI — eroding from >90%
Active Venues
17
TradFi + CEX + DEX
Executive Summary

The BTC options market has undergone a structural transformation in 2025–2026. Total aggregate BTC options open interest stands at approximately $65 billion, now exceeding futures OI ($60B) since July 2025. The market is dominated by two megavenues: BlackRock’s IBIT ETF options (~$33B OI, ~52% share) and Deribit (~$26B OI, ~39% share). The remaining ~9% is fragmented across CME, Bullish, OKX, Bybit, Binance, and emerging DEX protocols.

Key structural insight: The shift from crypto-native to TradFi-listed BTC options signals deep institutional adoption. IBIT options are now the 9th largest in the entire US options market with 7.7M+ active contracts, surpassing GLD (gold ETF) options. Deribit processed $743B in options notional volume in 2024 (99% YoY growth), but its dominance has eroded from >90% five years ago to ~39% today.

Complete Venue Rankings by Open Interest

Rank Venue Category Product Est. OI Style Volume / Key Notes
Tier 1: Dominant Venues (>$10B OI)
#1 IBIT (BlackRock) TradFi ETF Spot BTC ETF Options ~$33B (52%) American 7.7M+ contracts OI; record $10B single-day (Feb 6 2026); 9th largest US option; Nasdaq ISE & CBOE listed
#2 Deribit Crypto CEX BTC Options (inverse) ~$26B (39%) European $743B notional in 2024; ~$2B+/day; 85% crypto options share; Paradigm 33–36% of vol; Coinbase acquired; LD4 colo
Tier 2: Significant Venues ($1B–$5B OI)
#3 CME Group TradFi Exchange Options on BTC Futures ~$4.5B (6%) American CFTC regulated; 5 BTC per contract; institutional benchmark; 24/7 planned 2026
#4 Bullish Exchange Crypto CEX BTC Options ~$3–4B European NYSE-listed (BLSH); #2 BTC options OI among CEXs; $9B+ cumulative vol; NY DFS licensed; rapid growth
#5 OKX Crypto CEX BTC Options ~$3.2B European 21% derivatives market share; $202M BTC bilateral depth; unified margin; portfolio margin available
Tier 3: Emerging Venues ($100M–$1B OI)
#6 Bybit Crypto CEX BTC Options (USDC) ~$1.3B European ~$11.3B avg monthly BTC opts vol; 15% deriv market share; USDC-settled; retail friendly
#7 Binance Crypto CEX BTC Options ~$558M European 36% total deriv share but options tiny fraction; perps dominant; $536M BTC depth
Tier 4: Other TradFi BTC ETF Options
#8 BITO (ProShares) TradFi ETF BTC Futures ETF Options <$500M American First BTC ETF (2021); futures-based; 0.95% fees; losing share to spot ETFs
#9 FBTC (Fidelity) TradFi ETF Spot BTC ETF Options <$300M American $20.5B AUM; 0.25% fee; options thin vs IBIT; Fidelity brand institutional pull
#10 GBTC (Grayscale) TradFi ETF Spot BTC ETF Options <$200M American Legacy product; 1.50% fees; $19.6B AUM; persistent outflows to cheaper ETFs
#11 ARKB / BITB / Others TradFi ETF Spot BTC ETF Options <$100M ea American $3.5–3.6B AUM each; options available but very thin; liquidity concentrated in IBIT
Tier 5: Micro / Specialty CME Products
#12 CME Micro BTC Options TradFi Exchange Options on Micro BTC Futures <$200M American 0.1 BTC per contract; lower margin; same CME clearing; growing retail adoption
#13 CME BTC Friday Options TradFi Exchange Weekly Options on BTC Futures <$100M American Weekly expiry every Friday; settles to BRRNY rate; 4pm ET; short-dated event trading
Tier 6: Decentralised (DEX) Options Protocols
#14 Derive (fka Lyra) DEX BTC/ETH Options + Perps <$50M European $1.5B+ cumulative notional; 70%+ DEX options share; OP Stack rollup; portfolio margin; DRV token
#15 Aevo (fka Opyn) DEX ETH Options + Perps <$20M European $16B peak month (Mar 2024, incentivised); off-chain orderbook / on-chain settlement; BTC options launching
#16 Paradex DEX Perps + Options (BTC) <$10M European Starknet appchain; zero-fee perps; privacy features; $593M perp OI; options nascent
#17 Hegic / Stryke / Premia / Panoptic DEX Various Options Models <$15M ea Various Hegic: peer-to-pool AMM; Stryke: CLAMM; Panoptic: perpetual options (no expiry); niche

Open Interest Distribution (Jan 2026)

Venue OI ($B) Market Share Share Trend
IBIT (BlackRock) ~$33B ~52%
Rapidly growing
Deribit ~$26B ~39%
Share eroding
CME Group ~$4.5B ~6%
Steady growth
Bullish ~$3–4B ~5%
Fastest grower
OKX ~$3.2B ~5%
Stable
Bybit ~$1.3B ~2%
Growing
Binance ~$558M ~0.9%
Tepid
All Other (ETFs + DEX) <$1B <1%
Fragmented

Key Trading Insights

01
IBIT vs Deribit Structural Differences

IBIT options are American-style (early exercise possible), equity-settled through OCC, and trade during US market hours on Nasdaq ISE and CBOE. Deribit options are European-style, inverse (BTC-margined), and trade 24/7. This creates basis and vol surface discrepancies that are exploitable for cross-venue arb and relative value strategies. IBIT position limits are currently 250,000 contracts with a request pending to increase to 1M.

02
Paradigm Block Trade Network

Paradigm accounts for 33–36% of Deribit’s monthly volume. For institutional block execution, this remains the primary venue. Paradigm connects to Deribit, Bybit, OKX, and other venues for RFQ-style execution.

03
Bullish as Disruptor

Bullish (NYSE: BLSH) has surged from zero to #2 CEX for BTC options OI in months, overtaking OKX, Binance, and CME. Their $9B+ cumulative options volume and $4B OI peak (Jan 2026) makes them worth monitoring for liquidity and potential connectivity via LTP.

04
Volatility Compression Thesis

The dominance of options OI over futures OI ($65B vs $60B) since July 2025 is structurally compressing BTC volatility. Dealers hedging IBIT options create mean-reverting flows (buying dips, selling rallies), which dampens spot volatility. This has implications for vol selling strategies and VRP harvesting.

05
DEX Options — Early Stage

Derive (formerly Lyra) dominates with 70%+ of DEX options share but total DEX options volume is still <1% of centralised venues. Paradex is interesting (Starknet appchain with privacy features). Not yet viable for institutional-scale trading but worth tracking for alpha in tail strategies.

06
CME 24/7 Trading

CME announced plans to launch 24/7 trading for cryptocurrency futures and options in early 2026. This would eliminate the weekend gap risk that currently creates basis opportunities between CME and crypto-native venues.

07
Expiry Concentration Risk

Deribit’s quarterly expiries (last Friday of the month) concentrate massive OI. The Dec 26, 2025 expiry saw $23.6B in BTC options expire (>50% of total Deribit OI). These gamma-heavy events create predictable dealer hedging flows that are tradeable for market making operations.

Data Sources & Methodology

Open interest and volume figures compiled from: Checkonchain (aggregate OI), CoinGlass (exchange-level OI breakdown), Kaiko Research (market structure analysis), CoinDesk (market reporting including Dec 2025 and Jan 2026 snapshots), Deribit Insights (exchange-specific metrics), Bullish Q4 2025 earnings release, CME Group (Q3 2025 crypto insights), and DefiLlama (DEX protocol TVL/volume). All figures are approximate and reflect the most recent available data as of early February 2026.