Coinbase just walked away from a $2 billion stablecoin deal with BVNK.
Coinbase’s plan to make a major push into the stablecoin payments sector has hit a wall. The US crypto exchange has ended acquisition talks with UK-based fintech BVNK, in what could have been one of the largest deals ever for a stablecoin-focused startup.
Details on why the negotiations collapsed have not been revealed yet.
Acquisition Deal Crumbles
The two firms had entered into an exclusivity agreement in October, following advanced due diligence, and had revealed that a deal, worth roughly $2 billion, was close. Confirming the cancellation, a Coinbase spokesperson said in an exclusive statement to Fortune,
“We’re continuously seeking opportunities to expand on our mission and product offerings. After discussing a potential acquisition of BVNK, both parties mutually agreed to not move forward.”
That price tag would have nearly doubled Stripe’s $1.1 billion purchase of Bridge earlier this year and also would have been Coinbase’s second-largest deal after its $2.9 billion acquisition of Deribit in August.
BVNK, founded in 2021 by Jesse Hemson-Struthers, Donald Jackson, and Chris Harmse, specializes in using stablecoins to power payments and cross-border transactions. The company claims to handle more than $20 billion in annualized volume and has attracted backing from Visa and Citi Ventures. The failed talks leave BVNK exploring other strategic options after an earlier round of discussions with Mastercard also stalled.
For Coinbase, the failed deal highlights how difficult it can be to expand into the stablecoin sector, even as global adoption grows. It is important to note that the $314 billion stablecoin market is gaining fresh regulatory support following the US passing the GENIUS Act in July and creating clearer rules for issuers. The US Treasury had earlier said that it expects the market to reach $2 trillion by 2028, in what appears to be a huge growth potential ahead.
Echo Deal and Q3 Profits
The setback comes less than a month after Coinbase completed a $375 million acquisition of Echo, a platform that helps crypto startups raise capital. Founded by popular crypto figure Jordan Fish, also known as “Cobie,” Echo allows users to participate in early-stage fundraising rounds for blockchain projects. The deal was a part of Coinbase’s strategy to diversify beyond trading and strengthen its foothold in the crypto infrastructure space.
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The crypto exchange also entered the fourth quarter on a strong financial footing. Coinbase reported a sharp profit surge for the third quarter of 2025, beating Wall Street expectations. Net income jumped to $433 million from $75.5 million a year earlier, while total net revenue climbed to $1.8 billion for the quarter ended September 30.
It recorded a trading volume of $295 billion during the same period, as total assets on the platform rose to $516 billion, including $300 billion in assets under custody. Transaction revenue also nearly doubled to $1.05 billion, while subscription and services revenue grew 34.3% year over year to $747 million. Adjusted net income came in at $421 million, with adjusted EBITDA reaching $801 million.
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