1. Bybit's US Plan: Borrow a Partner's Licenses Instead of Building Its Own
Bybit, the world's second-largest crypto exchange by trading volume, intends to enter the United States through a partnership with an established financial firm rather than on its own, chief executive Ben Zhou said in an interview published on October 21. He named Interactive Brokers as the kind of partner Bybit would approach, with the aim of competing against Robinhood Markets (HOOD) for American retail customers.
Zhou described the approach as Bybit's normal practice in new territories, not an exception made for Washington. The strategy would let the exchange reach US users without first assembling the state-by-state licensing that consumed years of effort at rivals, and it would place the company beside a brand that American customers already trust.
The comments also revealed where else Bybit is looking. Zhou called the United Kingdom an attractive and largely untapped market, and he said the company is weighing whether to open a London office. Taken together, the remarks sketch a cautious expansion plan built around regulated products and local alliances.
2. Why Would Bybit Choose a Broker Partner?
Bybit would choose a broker partner because it offers a faster and less costly route into a market that is difficult to enter alone. Zhou said the best candidate at this stage is a company that is just moving into crypto and already has a client base in the United States, and he cited Interactive Brokers, or a firm like it, as an example of a broker that has not yet entered the sector.
The logic is straightforward. A broker with millions of existing accounts already holds the customer relationships, the compliance infrastructure and the regulatory standing needed to serve Americans. An exchange with a global trading engine, a deep product range and experience in digital assets can supply what the broker lacks. Each side fills a gap in the other.
Such arrangements are common in financial services, where a specialist firm provides technology or products and a licensed institution distributes them. For Bybit, the model also limits regulatory exposure, since the partner's licenses and oversight sit at the front of the customer relationship.
Zhou framed the choice as part of a consistent pattern: when Bybit moves into a new country, it looks first for a local firm to work with. The United States is simply the largest and most demanding example of that habit.
3. What Is the State-by-State Licensing Problem?
In the United States, there is no single federal license that lets a crypto exchange serve customers nationwide. Companies that transmit or custody customer money generally have to register with regulators in each state where they operate, and each state applies its own capital, reporting and compliance requirements. The process can run in parallel across states, but it remains slow and resource-intensive.
That is the burden Zhou's two-to-three-year estimate reflects. A firm applying alone must satisfy dozens of authorities, answer repeated questions and keep every approval current once granted. A broker that is already licensed and supervised can add crypto services to an existing structure instead of starting from zero.
Federal legislation could change the picture. A market structure law would define which agency oversees which digital assets and could reduce the overlap between state and federal rules. That prospect explains why Zhou linked Bybit's timing to the CLARITY Act, and why many exchanges outside the US watch its progress closely.
For customers, the practical effect would be familiar names. Someone who already trades stocks through a broker could one day access crypto products from an exchange like Bybit inside the same account, with the broker handling the regulated relationship.
4. How Long Would Licensing on Its Own Take?
Obtaining the licenses independently would take two to three years, Zhou estimated. The delay stems from the state-by-state money transmission regime in the United States, under which a company that handles customer funds generally needs approval from regulators in many individual states rather than a single national authority.
Coinbase took that path, and the process ultimately included a New York BitLicense, one of the most demanding authorizations in American crypto. The partnership route is designed to avoid repeating that long sequence of approvals.
Zhou also suggested that Bybit may prefer to wait for regulatory clarity. He pointed to the possibility that the CLARITY Act, the proposed market structure legislation, will pass, or that clearer rules will emerge, potentially with the Securities and Exchange Commission taking a federal lead. A single national framework would reduce the patchwork of state requirements that makes entry slow today.
In that sense, the partnership plan and the waiting strategy are complementary. Bybit can move through a partner if the opportunity arises, while holding back from a costly standalone application until the rules are more settled.
5. A Clean US Record and a Rejection of Rushing In
Bybit holds a distinctive position among large exchanges: Zhou said it is the only major platform that has stayed out of the American market, which means it carries no history of US regulatory disputes. He argues that this clean record is an asset and that Bybit can enter when conditions are right.
He also rejected the idea of hurrying. Fear of missing out, the pressure to act because competitors are acting, tends to produce poorly considered decisions, and Zhou's stance was that the exchange will not be driven by it. The company is prepared to be patient even as rivals build their presence.
The comment matters because several competitors have spent years navigating American enforcement actions and licensing fights. By arriving later, Bybit hopes to benefit from clearer ground and avoid the legal baggage that others accumulated.
6. How Competitive Is the US Crypto Market?
The American market is extremely competitive, according to Zhou, who called it large, important and saturated. He pointed to Coinbase's established position and to the growing importance of Robinhood, which has become a significant venue for retail crypto trading alongside its stock business.
For a newcomer, that means winning customers away from entrenched brands. A partnership with a broker would give Bybit a distribution advantage that a standalone launch could not match, because it would reach people who already keep their savings and investments at the partner firm.
Zhou did not describe the United States as the only difficult arena. He said Southeast Asia, Latin America and Africa are also competitive. In his assessment, the United Kingdom stands apart as a pretty good market, because competition there is less concentrated and no global exchange dominates.
7. Why Is Bybit Looking at the United Kingdom?
Bybit is looking at the United Kingdom because the country is moving toward a new crypto regime and no worldwide exchange leads its market. Zhou said Coinbase is probably the principal player there, but that the field remains open compared with the United States.
Entry is not cheap. He said the costs are high and comparable to obtaining a license under the European Union's Markets in Crypto-Assets (MiCA) regulation, which Bybit has already pursued elsewhere. Even so, the company is examining the opportunity closely.
Early in 2026, Zhou was invited to meet bodies linked to the British government, including the Financial Conduct Authority (FCA) and members of the House of Lords. Asked whether a London office is planned, he said Bybit is looking but has not decided where it would be located.
For readers following regulation, the sequence is notable: a global exchange engaging with the main UK regulator and legislators before the new regime takes full shape suggests that companies see the rules as a competitive starting line.
8. Scale, Licenses and the Planned European Everything App
Bybit says it has more than 80 million registered users in over 180 countries and regions. Those figures give it a global footprint, but the company is now trying to turn that reach into regulated status in individual jurisdictions.
Zhou said Bybit is collecting licenses around the world to launch new regulated products. In Europe, the company plans an everything app offering derivatives and tokenized stocks, with a launch as early as the first quarter of next year. The company's earlier licensing milestones include a MiCA license in Austria in May 2025 and a license in the United Arab Emirates in October 2025.
The European app illustrates the direction of travel. Rather than operating as a purely offshore trading venue, Bybit wants to hold licenses that let it offer a wider set of financial products under local supervision, a posture that also makes a future American partnership easier to arrange.
9. What to Watch Next
No timetable has been given for a US announcement, and Zhou did not name a signed partner. The first thing to watch is whether Bybit identifies a broker, and whether any firm of the type he described, one with an American client base that is only beginning to offer crypto, confirms talks.
Legislative developments are the second factor. Zhou tied the timing of any standalone application to passage of the CLARITY Act or to clearer federal rules, so movement in Congress or at the SEC could change Bybit's calculation.
Closer in time is the European rollout: the everything app is targeted for as early as the first quarter. A UK decision, including where a London office would sit, may follow as the country's new crypto regime takes shape.
Together, these markers will show whether the patient strategy Zhou described translates into a concrete product, or whether Bybit continues to build licenses abroad while American entry waits for clearer rules.