According to a source familiar with the plans, Coinbase, a prominent cryptocurrency exchange, is partnering with Bybit, a leading crypto trading platform, to explore tokenization, custody, and distribution of US public and pre-IPO stocks. The ongoing talks do not involve a stake acquisition or a similar arrangement for Bybit to enter the US market, as previously reported. Instead, Bybit plans to establish a new entity in the US, led by former co-CEO Helen Liu, with a local partner providing licensing and compliance, while Bybit contributes technology, products, and liquidity.
The collaboration between Coinbase and Bybit is focused on leveraging Bybit's global reach, particularly in Asia, to provide users with access to tokenized US stocks. The companies are discussing synergies around custody and distribution of these assets.
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 five years. This development comes as other market players explore similar partnerships, such as Intercontinental Exchange's investment in OKX and Deutsche Boerse's investment in Kraken.
Both Bybit and Coinbase declined to comment on the matter.