In a milestone transaction, Coinbase has entered into an agreement to obtain Deribit cryptographic options.
Coinbase acquires Deribit for about $ 2.9 billion, consisting of $ 700 million in cash and 11 million shares of Coinbase Class A, subject to usual market price adjustments.
This transaction is subject to regulatory approvals and other usual closing conditions and is expected to close by the end of the year.
Deribit’s options platform completes rapidly growing contracts for future fulfillment and international future businesses by Coinbase, complementing its derivatives. This is an important step towards Coinbase’s goal of providing traders access to point, future fulfillment contracts, continuous contracts for future fulfillment and options-all in a smooth and efficient platform.
Coinbase expects Deribit to boost profitability immediately and add the diversity and durability to its revenue in the end. Revenue from options is usually less circular than transactions, as traders use risk management options during increasing markets. Deribit has a consistent history of creating positive EBITDA, which Coinbase believes will grow as a combined entity.
“We are excited to join forces with Coinbase to dominate a new era in global cryptographic derivatives,” said Deribit Luuk Strijers CEO. “As the top encryption platform, we have created a strong, profitable business and this acquisition will accelerate the institution we set, while providing even more opportunities in today’s, future contracts, eternal and choices – all under a reliable brand.