Coinbase is currently in extensive discussions to acquire Deribit, a cryptocurrency derivatives marketplace, as per a report from Bloomberg dated March 21.
Purchasing Deribit — the leading platform for trading Bitcoin (BTC) and Ether (ETH) options — would enhance Coinbase’s current derivatives offerings, which predominantly emphasize futures.
Coinbase and Deribit have allegedly notified regulators in Dubai regarding the discussions. As Deribit possesses a license in Dubai, it would require transferring this license to Coinbase should the agreement materialize, according to Bloomberg, which relied on anonymous sources.
In January, Bloomberg noted that a transaction with Coinbase could value Deribit at anywhere between $4 billion and $5 billion.
Deribit offers options, futures, and spot cryptocurrency trading. Its overall trading volumes last year reached approximately $1.2 trillion, as reported by Bloomberg.
On March 20, Kraken, a competing cryptocurrency exchange, revealed intentions to purchase the derivatives trading platform NinjaTrader for around $1.5 billion.
Deribit is a well-regarded crypto derivatives platform. Source: Deribit
Related: Kraken to acquire NinjaTrader for $1.5B to provide US crypto futures
Feverish market
Cryptocurrency derivatives, such as futures and options, are experiencing a surge in demand across the US.
Futures are contracts with standardized terms that enable traders to buy or sell assets at a future date, frequently leveraging their positions. Options refer to contracts that provide the right to buy or sell — “call” or “put,” as understood by traders — an underlying asset at a predetermined price.
Both varieties of financial derivatives are favored by both retail and institutional investors for purposes of hedging and speculation.
In December, Coinbase reported that derivatives trading volumes skyrocketed by approximately 10,950% in 2024, according to Coinbase.
Coinbase lists derivatives connected to around 92 distinct assets on its international market and fewer in the US, as highlighted in its 2024 annual statement.
In January, Robinhood introduced cryptocurrency futures as the well-known online brokerage intensified its strategies to compete with Coinbase.
In February, CME Group, the largest derivatives exchange globally, announced that it recorded an average daily trading volume of approximately $10 billion for crypto derivatives in the fourth quarter of 2024 — representing more than a 300% increase compared to the previous year.
Coinbase rolled out the first Commodity Futures Trading Commission-regulated Solana (SOL) futures in February. Shortly after, CME debuted its own SOL futures contracts the succeeding month.
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