Smartphone with displayed Coinbase logo and representation of cryptocurrencies are placed on a keyboard in this illustration taken, June 8, 2023. REUTERS/Dado Ruvic/Illustration

Coinbase buys Deribit in $2.9 billion deal to expand crypto options base

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Coinbase, the largest publicly traded cryptocurrency exchange, said on Thursday it will buy derivatives exchange Deribit in a $2.9 billion deal to expand into the crypto options markets.

The move underscores a push by crypto firms to widen their institutional investor base, while also catering to retail traders who are becoming more sophisticated.

The Deribit acquisition gives Coinbase "a foothold in non-U.S. markets, especially Asia and Europe, where leverage trading is more prevalent," said Bo Pei, analyst at US Tiger Securities.

The cash-and-stock deal will allow Coinbase to offer crypto options to its international clients. Widely used for hedging, options can be a key source of stability as their demand typically holds up during bouts of volatility.

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Shares of Coinbase, which have lost nearly 21 per cent of their value in 2025, jumped 5.7 per cent. The company already allows its U.S. and international customers to trade crypto futures.

The deal consists of $700 million in cash and 11 million shares of Coinbase's Class A common stock, the company said in a blog post.

Although still early in the derivatives space, Coinbase reached record market share in its consumer and institutional derivatives volume in the last quarter. It is set to report its first-quarter earnings on Thursday after markets close.

"Should the U.S. legalize crypto options trading/perpetuals trading domestically, Coinbase will be swift to offer these services to US clients, bringing significant revenue upside," Daiwa Securities analyst Steven Nie said.

The deal also coincides with U.S. President Donald Trump's advocacy for digital assets and his pledge to establish America as the global center of cryptocurrency.

Buoyed by the regulatory optimism, several crypto-related firms are clinching deals to increase their user base.

Ripple last month bought buy multi-asset prime broker Hidden Road in a $1.25 billion deal, in one of the largest deals in the crypto company's history.

"There will be more consolidations in the crypto market led by U.S. firms," Pei said.

Kraken, another cryptocurrency exchange, had said in March it would buy retail futures trading platform NinjaTrader for $1.5 billion.

Source: Reuters

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