Brain Armstrong is positioning Coinbase in a very powerful position.
As the financial world changes, new entrants are seeking to take over. This is being met with the established guard fighting to maintain relevance. Some are simply looking to squash any new competitors while others are getting aggressive.
The fight over BVNK seems to pit the old against the new.
Coinbase is reported to be closing in on the win. This could alter the exchange's position within the crypto world. Actually, Armstrong has every intention of making Coinbase something much larger than just a centralized crypto exchange.
In this article I will dig into what Coinbase is doing and how it seeks to be a major player in the stablecoin market.
Coinbase Nearing Acquisition of BVNK
Stablecoin payments are increasing at a dramatic rate. Not only is this gobbling up a larger portion of all crypto related activities, it is starting to eat into the total transactions.
It is a trend that is expected to continue.
Coinbase has been gradually building a broader financial ecosystem as trading volumes swing with market cycles. Stablecoins now account for nearly 20 percent of its total revenue, generating about $246 million in the third quarter of 2025 through partnerships with Circle, issuer of the popular USDC token.
This is leading to the continued expansion by the company. Armstrong is not content to simply have it feed the trading activities. Instead, he is looking to enter the payments arena in a way that lines him up against some of the biggest names there are.
For this reason, the company is closing in on a deal to acquire BVNK. This is a stablecoin infrastructure startup of which the company's (Coinbase) investment arm already has stake.
Coinbase is reportedly in late-stage talks to acquire London-based BVNK, a fast-growing stablecoin infrastructure startup, in a deal valued near $2 billion. The acquisition, expected to close by early 2026, signals the crypto exchange’s latest step to diversify its business beyond trading fees and strengthen its position in digital payments.
Here is where the old and new are colliding. The battle to acquire BVNK including Mastercard, one of the leading payment providers in the world. It appears that Coinbase is going to win the contest for BVNK, pushing Mastercard to look elsewhere.
As widely reported, it appeared to be an ongoing race between Mastercard and Coinbase to acquire BVNK. However, Coinbase now seems to have succeeded in its bid complete the potential acquisition. Notably, Mastercard also appears to have chnaged its focus to Zerohash, now reportedly getting read for a $2 billion acquisition as well.
Naturally, this is going to extend beyond the bid process. We can expect Coinbase, Mastercard, Visa, and other entities all vying for market share in this rapidly growing market. If stablecoin issues reach the trillions like most expect, the number of transactions utilizing these tokens will explode.
Global Landscape
The benefit to Web3 and crypto is the fact it is global in nature. These was never established in the "real" world. Instead, it was completely online, existing digitally from the start.
Here we have an interesting scenario cropping up since centralized institutions are regulated. A company like Coinbase has to enter market on a permissioned basis. This can be done through application or acquisituion.
BVNK will offer Coinbase exposure to the European market, one area that it is lagging, at least compared to its US operations.
Coinbase’s acquisition would bring BVNK’s capabilities in-house, giving it direct control over settlement tools and expanding its reach in Europe. The integration could streamline Coinbase’s existing wallet and on-ramp products and open doors to new regional markets such as the UK and the EU.
We see innovation being key. Those geographic areas with companies that advancing in this area are going to see their reach expand.
This starts with the underlying. While blockchain can be everywhere, regulation is forcing innovation out of many countries. Europe was ahead of the US during the Biden years, which took an anti-crypto stance. Since the entry of the new administration, the US is trying to reverse course.
Coinbase is one of the "traditional" names in this newer industry. It went public in 2021, something that gives it a bit of longevity in a young industry. The fact it is having to take on financial institutions that have decades (or more than a century) of experience is telling.
Agility is going to be key. Things are changing rapidly with opportunities popping up on a regular basis. Those that see them before they emerge and get on board tend to do well.
Armstrong is intent on steering Coinbase down the proper channels. The acquisition of BVNK is one of the moves that will help the company become a player in the payments market.