Coinbase is in advanced talks to acquire Deribit, a leading cryptocurrency derivatives platform, Bloomberg reported on Friday.
This acquisition would enhance Coinbase's existing derivatives platform, which focuses primarily on futures.
Coinbase and Deribit have reportedly informed Dubai regulators about the negotiations.
Since Deribit holds a license in Dubai, this would have to be transferred to Coinbase if the acquisition goes through.
In January, Bloomberg reported that a deal could value Deribit at between $4 billion and $5 billion. Deribit offers options, futures and spot cryptocurrencies, with total trading volume reaching approximately $1.2 trillion last year.