Deribit to Roll Out USDC-Settled Linear Bitcoin and Ether Options This Month

Highlights:

• Deribit will roll out USDC-settled linear Bitcoin and Ether options on August 19.
• Smaller minimum order sizes improve accessibility for traders.
• Cross-portfolio margin offsets risk between linear and inverse positions.

On August 19, the crypto derivatives exchange Deribit announced plans to roll out linear Bitcoin and Ether options settled in USDC. The move will extend its stablecoin-based derivatives to the two most popular cryptocurrencies. These products will operate concurrently with already existing inverse contracts, hence providing customers with additional settlement options.

As per the announcement, the introduction extends to USDC-settled dated futures on BTC and ETH. They will, in addition, complement the existing USDC perpetual futures on the exchange. This responds to the high demand for stablecoin-based products by institutional traders and retail traders. Deribit incorporated these contracts in its cross-portfolio margin system. This setup makes it possible to offset the margin between linear and inverse positions, enhancing capital efficiency. The exchange also decreased minimum order quantities to 0.01 BTC and 0.1 ETH in order to enhance accessibility.

BTC & ETH options, now also in USDC. 🚀
Deribit is launching USDC-settled linear options, giving traders:
• Stablecoin-based margin & settlement
• Lower minimum order sizes
• Risk offsets vs inverse options
• Leverage of reward-bearing USDC holdings

Launching on August 19th.… pic.twitter.com/IncOlyCDCz

— Deribit (@DeribitOfficial) August 15, 2025

Why Linear Options in USDC Are Significant

Linear options have payouts that correlate directly with the price of the underlying asset. Consequently, this makes them easier to value and risk manage. The settlement in USDC implies that traders do not have to experience collateral value volatility based on BTC or ETH. In addition, it aids portfolio accounting and rebalancing.

Deribit CEO Luuk Strijers said:

“With the settlement through USDC, we are offering more flexibility, capital efficiency, and a comfortable fiat-like structure that is attractive both to institutional and retail participants.”

These USDC-settled contracts follow the earlier rollout of similar products by Deribit on altcoins such as Solana, XRP, and Paxos Gold. That experience demonstrated the active interest in stablecoin-settled derivatives. However, some products, such as MATIC options, were later discontinued because of the lack of activity.

USDC settlement also offers the advantage of a smaller tick to traders aiming to achieve precise positions. BTC and ETH USDC contracts will peg their index prices to the respective USD equivalents. Deliveries will be set at 1 USDC equaling 1 USD, whereas account valuation is set with live USDC-USD rate.

Market Context and Strategic Expansion

Deribit remains the largest cryptocurrency options exchange in terms of trading volumes and open interest. In July, it posted a monthly trading record of more than $185 billion. The exchange was established in 2016 and was recently acquired by Coinbase in a deal valued at $2.9 billion, which was completed this month.

It's very official now.

Proud to be part of @coinbase https://t.co/CCUvGLbYLO

— Deribit (@DeribitOfficial) August 14, 2025

The structure of the newly created linear Bitcoin and Ether options is reminiscent of the traditional cash-settled structures. This could assist institutions that are conversant with legacy markets to be more comfortable with crypto derivatives. Hedging, arbitrage and yield strategies are also supported by the opportunity to run both inverse and linear books.

The products are already accessible on the public testnet on Deribit. At launch, the only supported deposits rely on ERC-20 USDC. Despite the USDC depeg incidents continuing to be a market consideration, the exposure during delivery is minimized by the pegged USD indices.

In May, Deribit announced that it was evaluating a potential US expansion due to changing regulatory attitudes under President Trump. Some crypto companies have recently reconsidered their decision to enter the market since changes in policies are in their favor. The friendly U.S. regulatory environment has seen industry leaders pursue licensing and collaborative opportunities.