According to a source familiar with the matter, Coinbase, a leading cryptocurrency exchange, is partnering with Bybit, a prominent crypto trading platform, to explore opportunities for tokenizing, custoding, and distributing US public and pre-IPO stocks. The ongoing discussions do not involve any stake acquisition or similar deal for Bybit to enter the US, as previously reported.
Instead, Bybit is planning to enter the US market through a separate entity, reportedly led by former co-CEO Helen Liu, which will focus on licensing, compliance, and technology. The collaboration between Coinbase and Bybit is centered around leveraging Bybit's global reach, particularly in Asia, to provide users with access to tokenized US stocks. The companies are exploring synergies in custody and distribution, aiming to bring US assets to a broader market. This partnership comes as other market players are also exploring similar collaborations, such as Intercontinental Exchange's investment in OKX and Deutsche Boerse's strategic investment in Kraken.
Both Coinbase and Bybit have declined to comment on the matter.