According to Citadel Securities, retail investors' risk appetite has reached a record high. Zero-day-to-expiration (0DTE) options now account for a record 48% of total retail options trading volume. Over the past five years, this share has more than tripled. Moreover, in May, 0DTE options represented a record 30% of all options trading volume in the U.S.
0DTE options are highly speculative and extremely volatile instruments that expire within 24 hours.
The explosive growth of 0DTE options reflects a shift in retail investor behavior toward short-term, high-conviction speculation. Low upfront premiums allow traders to control large notional exposure with limited capital, while the possibility of generating substantial returns within a single trading session creates a lottery-like payoff profile. Social media, commission-free trading platforms, and real-time market commentary have further accelerated this trend by making high-frequency speculation more accessible.
