BlackRock's IBIT Bitcoin Options Become Wall Street's Top Choice, Overtaking Deribit

BlackRock's iShares Bitcoin Trust (IBIT) exchange-traded fund has surpassed Deribit to become the leading platform for bitcoin (BTC) options, demonstrating how institutional accreditation and capital are transforming crypto derivatives trading. Open interest in IBIT contracts reached nearly $38 billion following Friday's expiry, compared to $32 billion on Deribit, which had dominated the market since 2016. This shift occurred less than a year after IBIT options launched in November. IBIT, already the world's largest spot bitcoin ETF with $84 billion in assets, has rapidly attracted institutional investment. Its expansion is enhancing liquidity and credibility, moving trading activity from offshore markets to regulated environments. While Deribit—acquired by Coinbase for $2.9 billion in August—remains popular among crypto-native traders, IBIT's rise indicates a structural power shift as options trading moves from high-leverage offshore platforms to U.S.-based venues. Checkonchain data reveals that IBIT ETF's leverage ratio has hit 45%, approaching record levels. The ETF holds 770,000 BTC, with options open interest at 340,000 BTC, meaning nearly half of IBIT's underlying exposure is reflected in derivatives. This underscores the significant speculative positioning linked to the ETF, though it's debatable whether this fully represents market leverage. IBIT now represents 45% of global BTC options open interest dominance, exceeding Deribit at 41.9%, while CME holds just 6% and other exchanges account for the remainder. This concentration shows that IBIT and Deribit collectively control almost 90% of the BTC options market. The data highlights two key insights: IBIT's expanding influence in derivatives is reshaping the market, and institutional platforms like CME remain relatively small compared to ETF-driven and retail-focused venues.