tastytrade (formerly tastyworks) is a US brokerage built specifically for options and derivatives traders, launched in 2017 by Tom Sosnoff and the team behind thinkorswim. Headquartered in Chicago and now part of London-listed IG Group, tastytrade is known for low, capped options commissions — with $0 to close most positions — and a platform packed with options-centric analytics. Paired with the firm's well-known financial media network, it has become a hub for active options traders who think in terms of probability and volatility.
About tastytrade
Founded by Tom Sosnoff and Scott Sheridan — pioneers of retail options trading — tastytrade was designed around the workflow of high-frequency options traders. Its desktop, web, and mobile platforms emphasise strategy building, probability analysis, and quick multi-leg order entry. Acquired by IG Group in 2021, tastytrade offers options, stocks, ETFs, futures, and cryptocurrency. It is regulated by the SEC and FINRA with SIPC protection, and its capped commission model is a defining draw for derivatives traders.
Key Facts
| Item | Details |
|---|---|
| Launched | 2017 |
| HQ | Chicago, Illinois, USA |
| Owner | IG Group (UK) |
| Regulation | SEC / FINRA / SIPC |
| Products | Options, stocks, ETFs, futures, crypto |
| Platforms | tastytrade desktop, web, mobile |
| Options commission | Low, capped per leg · $0 to close |
| Focus | Options & derivatives trading |
Key Features
Options-First Platform
tastytrade is engineered for options traders, with fast multi-leg order entry, probability-of-profit metrics, implied-volatility visualisation, and curated strategy tools. Few platforms make building and managing complex options positions as quick or intuitive.
Capped Commissions, Free to Close
The broker charges a low commission per options leg with a per-trade cap, and crucially charges $0 commission to close most options positions — a structure that rewards active traders who frequently open and close trades.
Futures, Crypto & Education
Beyond options, tastytrade supports futures and cryptocurrency, and is paired with an extensive financial-media and education network that teaches volatility-driven, probability-based strategies.
Fee Structure
| Service | Fee |
|---|---|
| US stocks & ETFs | $0 commission |
| Options (open) | Low per-contract, capped per leg |
| Options (close) | $0 commission |
| Futures | Per-contract pricing |
| Crypto | Spread/commission-based |
Pros & Cons
Pros
- Best-in-class options platform and tools
- Low, capped options commissions · $0 to close
- Built by the thinkorswim founders
- Strong education and media network
- Backed by IG Group
Cons
- Niche focus — less ideal for buy-and-hold
- Fewer products than full-service brokers
- Primarily US-focused
- Options trading carries elevated risk
Summary
tastytrade is the platform of choice for active options and derivatives traders. Built by the creators of thinkorswim, it pairs an options-first interface with low, capped commissions and $0 to close — a structure tailored to high-frequency strategy trading. Long-term, buy-and-hold investors may prefer a full-service broker, but for probability- and volatility-driven options trading, tastytrade is among the best. Note that options and futures carry significant risk of loss.