Coinbase and Bybit Collaborate on Tokenization and Distribution of US Stocks

According to a source familiar with the plans, Coinbase, a major cryptocurrency exchange, is partnering with Bybit, a prominent crypto trading platform, to explore tokenization, custody, and distribution of US public and pre-IPO stocks. The ongoing talks do not involve any stake acquisition or similar deal for Bybit to enter the US market, contrary to previous reports. Instead, Bybit is planning to launch a new entity in the US, led by former co-CEO Helen Liu, which will focus on licensing, compliance, and providing technological expertise. The discussions between Bybit and Coinbase are centered around leveraging Bybit's global reach, particularly in Asia, to provide users with access to tokenized US stocks. The partnership aims to bring US assets to a broader market, with the goal of making any asset accessible globally through a single app within the next five years. This collaboration comes as other market players are also exploring similar partnerships, such as Intercontinental Exchange's investment in OKX and Deutsche Boerse's investment in Kraken. Both Bybit and Coinbase have declined to comment on the matter.