Coinbase Eyes Deribit Deal to Dominate Crypto Derivatives

• Coinbase is in talks to acquire Deribit, expanding its crypto derivatives platform.
• The deal could value Deribit at $4 billion to $5 billion, boosting Coinbase’s position.
• The UAE commits to a $1.4 trillion investment framework in the US, boosting ties and tech.

Coinbase is reportedly nearing the final stages of acquiring Deribit, the largest cryptocurrency derivatives marketplace. It would enable Coinbase to build deeper into the derivatives market which currently offers only futures. Sources revealed that this would greatly strengthen Coinbase’s standing in the burgeoning crypto derivatives market. Notably, the deal could value Deribit at $4 billion to $5 billion, boosting Coinbase’s position. 

Deribit’s Market Dominance

Deribit is known for trading Bitcoin and Ether options and its trading volumes hit $1.2 trillion in 2024, a testament to its market dominance. If the deal is finalized, Coinbase would gain access to its products, enabling it to be a stiff competition for Kraken and CME Group. 

As Deribit holds a license in Dubai, Coinbase had reportedly notified regulators in Dubai. If the acquisition goes through, Coinbase would need to transfer this license. The news highlights Coinbase’s focus on expanding its international presence, particularly in the Middle East, where cryptocurrency trading is gaining momentum.

In recent years, cryptocurrency derivatives have gained popularity, especially in the United States. Futures and options are increasingly used by retail and institutional investors alike. These products allow investors to hedge and speculate on the price movements of various digital assets. In December 2024, Coinbase reported a staggering 10,950% increase in derivatives trading volumes.

The trend is mirrored by other exchanges. Kraken recently announced plans to acquire NinjaTrader, a derivatives platform, for around $1.5 billion. Meanwhile, Robinhood has expanded into cryptocurrency futures trading. These moves show how competitors are ramping up their offerings to cater to a growing market of derivative traders.

Related: TRON Teams Up with pump.fun for Seamless Cross-Chain Trading

UAE’s $1.4 Trillion Commitment

The United Arab Emirates (UAE) has agreed to establish a 10-year $1.4 trillion investment plan in the United States after talks with President Donald Trump. The deal is expected to significantly increase the ‘soft’ UAE investment in the American economy in sectors like AI, semiconductors, energy, and manufacturing.

Such discussions have been instrumental in the promotion of relations between the two countries. UAE’s investment is likely to foster growth in the US economy, particularly in aspects of emerging technologies. Trump also had specific meetings with top Emirati officials to discuss improvements in the economic and technological cooperation between the two nations. The deal is another clear indication of the willingness of the UAE to expand its capital investment in the United States.

The post Coinbase Eyes Deribit Deal to Dominate Crypto Derivatives appeared first on Cryptotale.