According to a source familiar with the plans, Coinbase, a leading cryptocurrency exchange, is partnering with Bybit, a prominent crypto trading platform, to explore tokenization, custody, and distribution of US public and pre-IPO stocks. The ongoing discussions do not involve any stake acquisition or similar arrangement for Bybit to enter the US, as previously reported. Instead, Bybit plans to enter the US market through a separate entity, led by former co-CEO Helen Liu, which will focus on licensing, compliance, and providing technological support.
The partnership between Coinbase and Bybit aims to leverage Bybit's global reach, particularly in Asia, to provide users with access to tokenized US stocks. The collaboration seeks to create synergies around custody and distribution of these assets.
The source emphasized that the US is home to desirable assets that global users want, and by working together, Coinbase and Bybit can bring these assets to a broader market. The exploration of tokenized stocks by the two companies comes as other market players explore similar partnerships, 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.