According to a source familiar with the matter, Coinbase, a prominent cryptocurrency exchange, is engaging in discussions with Bybit, a leading crypto trading platform, to explore opportunities for tokenizing, custodying, and distributing US public and pre-IPO stocks. The talks are ongoing and do not involve any acquisition or investment, as previously reported. Instead, Bybit is planning to enter the US market through a separate entity, led by former co-CEO Helen Liu, with a local partner providing licensing and compliance. The collaboration between Coinbase and Bybit is focused on leveraging Bybit's global reach to provide users with access to tokenized US stocks, particularly in regions like Asia.
The partnership aims to bring US assets to a broader market, with the potential for tokenization to make any asset accessible globally through a single app within the next five years. Other market players, such as Intercontinental Exchange and Deutsche Boerse, are also exploring similar partnerships with crypto exchanges. Both Bybit and Coinbase declined to comment on the matter.