The acquisition of Coinbase (COIN) of $ 2.9 billion of demribit will be a turning point for the company, pushing the headquarters with headquarters in the United States with direct competition with global heavyweights such as Binance, Wall Street analysts wrote Thursday.
The massive agreement is more than a simple expansion of the platform; It is a paradigm shift for the exchange and trade industry. According to analysts, the agreement indicates the beginning of a new consolidation cycle in the cryptography trade industry, as smaller exchanges face pressure and Tradfi companies seek to expand even more in the sector.
Read more: in a $ 2.9B agreement, Coinbase Purchase Deribit to expand in the US crypto options market.
Delibit controls 85% of the world market for cryptography options and reported $ 1.2 billion in negotiation volume last year. By absorbing it, Coinbase becomes the world’s largest cryptographic derivatives platform due to activity of interest and open options, Keybanc wrote in a report.
The agreement also connects a geographical gap, expanding the presence of Coinbase abroad, where only 20% of its income originates, according to Benjamin Buddish from Barclay.
Oppenheimer described it as a “legitimate threat” for dominant exchanges, noting that the public state of Coinbase gave it the ability to finance the acquisition using shares, an option that is not available for most private companies. That advantage, combined with $ 8.5 billion in cash available, could convert coinbase into the most aggressive consolidor of space.
The options markets are attractive in part because they offer constant volumes in market cycles. Barclays estimated the income of 2024 of Deribit between $ 425 million and $ 450 million, which suggests a contribution of healthy profits to the final coinbase result.
Keybanc also highlighted the strategic adjustment, calling the institutional user base of Deribit and the International Footprint a natural extension of the futures and specific Coinbase products.
The regulatory approval of the agreement is still pending, but analysts expect Coinbase to provide more color during their first quarter profit report on Thursday.
The exchange is expected to lose the street expectations for profits in the first quarter, since the markets were shaken by economic uncertainty. Coin shares increased 6.58% in the day, while Bitcoin increased 4.31%.
Read more: Coinbase’s gains pain probably as retail activity collapses, Wall Street analysts warn
