According to a source familiar with the plans, Coinbase, a prominent cryptocurrency exchange, is teaming up with Bybit, a leading crypto trading platform, to explore tokenization, custody, and distribution of US public and pre-IPO stocks. The discussions, currently in progress, 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, led by former co-CEO Helen Liu, with a local partner providing licensing and compliance, while Bybit provides the necessary technology, products, and liquidity.
The collaboration between Coinbase and Bybit is focused on a global level, leveraging Bybit's international reach to provide users with access to tokenized US stocks. The two companies are exploring synergies in custody and distribution, aiming to bring US assets to a broader market. This partnership is part of a larger trend, with other market participants also exploring similar collaborations, such as Intercontinental Exchange's stake in OKX and Deutsche Boerse's investment in Kraken.
Both Bybit and Coinbase declined to comment on the matter.