Kemet, a New York-based crypto infrastructure startup founded by an Egyptian entrepreneur, has partnered with Coinbase to expand institutional access to crypto derivatives, deepening the US firm’s push into one of the fastest-growing segments of digital assets.
- Coinbase has partnered Kemet to give institutions unified access to multiple trading venues, including Deribit.
- The company also invested in Kemet, signalling a deeper institutional strategy.
- Crypto derivatives now dominate global trading, processing over $85 trillion annually.
- Africa’s crypto growth is strong but still largely retail-driven, with institutions held back by regulation and infrastructure gaps.
The agreement allows institutional clients to trade across four Coinbase venues, Coinbase Exchange, Coinbase Derivatives Exchange, Coinbase International Exchange, and Deribit, through a single platform built by Kemet.
Coinbase Ventures also made an undisclosed investment in the startup, signalling long-term strategic alignment.
The move reflects a broader shift in crypto markets, where derivatives now dominate activity. The segment processed about $85.7 trillion in trades in 2025, according to CoinGlass, far exceeding spot trading volumes and underscoring rising institutional participation.
Kemet, founded in 2022, develops systems that combine order execution, portfolio management and risk monitoring into a single interface.
Large trading firms typically rely on separate tools for these functions, often from different providers. By consolidating them, Kemet aims to simplify how institutions execute complex trades and manage exposure across markets.
The partnership also builds on Coinbase’s $2.9 billion acquisition of Deribit in 2025, which strengthened its position in crypto options trading.
At the time, Deribit handled more than $185 billion in monthly volume, highlighting the scale of demand for derivatives products.
Rather than building advanced trading infrastructure internally, Coinbase is increasingly partnering with specialised firms as it targets institutional clients accustomed to traditional financial systems.
While global demand for derivatives is surging, Africa remains largely excluded from institutional activity despite strong retail adoption.
Countries such as Nigeria, South Africa, Kenya, Ghana and Ethiopia recorded $182.1 billion in crypto value between July 2024 and June 2025, a 72 per cent increase year-on-year, according to Chainalysis.
That growth, however, is concentrated in spot trading and peer-to-peer transactions. Institutional derivatives trading is still constrained by regulatory uncertainty and limited market infrastructure across much of the continent.
Kemet does not currently serve African institutions, reflecting those constraints. Regulatory clarity around derivatives remains limited, and even traditional financial markets in many African economies are still heavily skewed towards spot trading.
Still, the partnership points to future potential. Coinbase has been expanding its presence in Africa through stablecoins and payments, while its Base blockchain is gaining traction for low-cost transactions.
As infrastructure improves and regulations evolve, Africa could become a more active player in the global derivatives market, an opportunity both Coinbase and Kemet appear to be positioning for.
