According to a source familiar with the matter, Coinbase, a prominent cryptocurrency exchange, is collaborating with Bybit, a leading crypto trading platform, to explore opportunities for tokenizing, custoding, and distributing US public and pre-IPO stocks. The talks, which are currently ongoing, do not involve any acquisition or investment deals that would enable Bybit to enter the US market, as previously reported. Instead, Bybit is planning to establish a presence in the US through a separate entity, led by former co-CEO Helen Liu, with a local partner providing necessary licenses and compliance.
Bybit will contribute its technology, products, and liquidity to the partnership. The discussions between Coinbase and Bybit are focused on a global scale, leveraging Bybit's international reach, particularly in regions like Asia, where users are interested in accessing tokenized US stocks. The two companies are investigating potential synergies in the custody and distribution of these assets. The source emphasized that the US is home to highly sought-after assets, and by working together, Coinbase and Bybit can make these assets more accessible to a global audience.
This collaboration is part of a broader trend, with other market players exploring similar partnerships, such as Intercontinental Exchange's investment in OKX and Deutsche Boerse's strategic investment in Kraken. Both Bybit and Coinbase declined to comment on the matter.