Cboe targets prediction market with ‘all-or-nothing’ options revival: WSJ

Cboe Global Markets is considering bringing back binary options for retail investors, structured as fixed-return derivatives that either pay a set amount or expire worthless, to directly challenge the rapidly expanding prediction market sector. These proposed contracts mirror the yes-or-no payoff structures used on prediction platforms like Kalshi and Polymarket. Cboe previously listed similar binary options in 2008 but delisted them due to low traction and regulatory concerns, including SEC warnings about investor losses. Cboe's head of retail expansion, JJ Kinahan, emphasized that the exchange will apply rigorous legal and compliance standards before listing any new contracts, positioning them as an accessible entry point to options trading. This move occurs as prediction markets hit record trading volumes, exceeding $17 billion in January, with major players like Coinbase and Goldman Sachs showing increased interest in the space.

(Source：The Block)