Cryptocurrency exchange Bybit is set to make a strategic partner with a US-based financial group as it prepares to enter the US market. CEO Ben Zhou discussed the possibility of collaborating with a US-based broker such as Interactive Brokers to establish a presence in the US and counter industry giants such as Robinhood. With over 80 million registered users, Bybit has not established its presence in the US, and Zhou is determined to enter the competitive market at the right time.
Zhou stated that partnering with a local broker is the most likely way for Bybit to enter the US market. It would be beneficial for Bybit to work with an established company with a customer base in the US to enter the market and localize its services faster. At the same time, it would save the company from having to spend much time and effort on the early stages of the localization process.
Source: x.com
It can be quite challenging to enter the US market as a cryptocurrency business because of the various licensing rules in each state. According to Zhou, this process takes anywhere between two to three years. The executive added that they keep tracking of the proposed Clarity Act, which will have an impact on the domestic regulation system. Therefore, Zhou thinks that a federal-level regulatory system would be much better for the company as it would save them from the complicated state-level rules.
Zhou explained that Bybit’s decision to enter the US market only when the time is right will benefit the company. He revealed that the company has a track record in the mentioned market and is ready to enter and compete when the time comes. The executive emphasized that Bybit does not want to enter the US just because other players expand their operations and take a considerable market share.
Although the US market attracts every cryptocurrency business, multiple crypto exchanges have already established dominance in the US, including Coinbase and Robinhood. According to Zhou, Bybit is also reviewing other potential markets for expansion. The UK is an attractive market as, unlike the US, in his opinion, no cryptocurrency exchange has an established dominant position. Still, according to Zhou, the necessary permits and organizational steps would be more challenging and expensive in the UK.
Bybit is also planning to expand its presence in Europe. The company’s CEO announced that Bybit is preparing to launch an app that would offer various financial products, including derivatives and tokenized stocks, next year in Q1. However, there is no official confirmation of the company’s intention to enter the US market. The company has not entered the market to date, and the decision will be made based on a combination of several factors.
Stay informed with the latest trends in Web3, blockchain innovation, and cybersecurity updates at 3verseTV
You need to login in order to Like
Leave a comment