Coinbase's $2.9B acquisition of Deribit strengthens its position as a leader in global crypto derivatives trading.
Google’s $1.8B investment in TeraWulf marks a significant move into AI-powered Bitcoin mining.
Bitcoin's price dropped below $119K after the US Treasury confirmed it would not purchase new BTC for its strategic reserve.
Crypto news today is filled with significant developments! Coinbase has completed its $2.9 billion acquisition of Deribit, Google has invested $1.8 billion in TeraWulf's AI-powered Bitcoin mining project, and Bitcoin's price has dropped below $119K after the US Treasury's decision not to purchase new BTC for its strategic reserve.
Coinbase has completed its $2.9 billion cash and stock acquisition of Deribit, the final deal announced in December 2020, cementing its status as an international benchmark in crypto derivatives by both open interest and options volume. An announcement was made in early May 2025 when Coinbase purchased the crypto options exchange for $700 million in cash and 11 million shares of Coinbase Class A common stock.
Founded in 2016, Deribit has since grown to be the largest crypto options exchange by volume, recording a record monthly trading volume of $185 billion in July 2025. It also recorded more than $1 trillion worth of trading volume in 2024, which shows an increase of 95% compared to the year before. Deribit, with its platform supporting $59 billion in open interest, has an expansive footprint of institutional and professional traders, and will further round out Coinbase as an aggregator.
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With the acquisition, Coinbase will move a step closer to providing a wide selection of crypto trading products, including spot, futures, perpetuals, and options. Adding the Deribit trading infrastructure will allow Coinbase to grow internationally and offer increased market liquidity. This growth occurs when institutional demand for crypto options is skyrocketing.
Due to Deribit's reputation and powerful technology, Coinbase will now be able to provide more complex tools to professional traders. The deal enhances Coinbase's role in the derivatives sector, with the firm seeking to take advantage of the rising popularity of crypto options trading.
Also Read: Ethereum Outpaces Solana in Inflows: $4.5K Target Ahead?
In a market-moving remark, US Treasury Secretary Scott Bessent reiterated that the government would not purchase new BTC to add to its strategic reserve. Bessent explained that the current Bitcoin positions, which were acquired using confiscated funds, would remain in its possession, but it would not acquire additional ones. This was announced in an interview on Fox Business's Mornings with Maria show.
The government's decision against buying more Bitcoin symbolizes a change in its outlook on cryptocurrency. Whereas the US was initially considering creating a strategic Bitcoin reserve, Bessent suggested that moving forward, the priority would be to use confiscated crypto to generate the reserve. Government Bitcoin reserves have been estimated to be between $15 billion and $20 billion, and Bessent assured investors that the assets would not be sold in the future.
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After Bessent's remarks, Bitcoin experienced a subsequent price drop, going below the threshold of $119000. Its price had dropped after reaching a high of 124,457 earlier in the day, as investors worried about a government decision. Analysts said the announcement cooled interest in Bitcoin because they had expected the government to get more involved in the market.
Nevertheless, Bitcoin is still a powerful investment for most users, particularly due to a rising trend in macroeconomic problems such as escalating inflation and the US debt crisis. The government's move to stop the purchase of Bitcoin has created doubt, but most feel that Bitcoin's position as a store of value will not be affected.
In a significant development, Google struck an option to purchase an 8% stake in a Bitcoin miner, TeraWulf, via a backstop deal worth $1.8 billion. The transaction consists of high-performance computing (HPC) colocation contracts between TeraWulf and the AI cloud platform Fluidstack, which Google supports. The partnership allows TeraWulf to offer more than 200 megawatts (MW) of computing power, which makes the company a leader in the AI-fueled Bitcoin mining sector.
With the investment, Google is entitled to warrants to purchase approximately 41 million shares of TeraWulf common stock, totaling an 8% pro forma equity stake. The acquisition is an extension of a larger plan to expand into AI and blockchain technologies. The initial part of the project, comprising 40 MW of capacity, is likely to be commissioned by the middle of 2026, with the full 200 MW scope to be launched by the end of the year.
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The collaboration between TeraWulf and Google will likely boost the company's development in high-performance computing, especially at a time when the demand for AI infrastructure is continuously increasing. The partnership also highlights the increase in AI and blockchain convergence, with these sectors using advanced computer power to fuel innovation.
Google gains access to the top player in the Bitcoin mining market by securing a stake in TeraWulf, leveraging the increasing demand for sustainable, zero-carbon mining solutions. The timing of this move has also placed Google in a situation where it is set to take advantage of the long-term growth of blockchain technology and its intersection with AI.
Also Read: Bitcoin Mining Crisis 2025: Rising Costs, Falling Profits & A Race for Survival