Coinbase Inc. (COIN), the U.S. crypto exchange aiming to expand globally amidst regulatory challenges in its home country, has reportedly explored the possibility of acquiring FTX Europe, as per Fortune. This move aligns with Coinbase’s objective to expand its derivatives business.

However, the acquisition talks did not progress significantly, remaining in the early stages. FTX Europe, which became available for purchase after its parent company’s bankruptcy declaration last year, attracted interest due to its highly profitable derivatives business and growing customer base.

Derivatives, financial contracts deriving value from underlying assets like bitcoin (BTC), can be lucrative for both traders and the exchanges facilitating them.

FTX Europe stood out among European exchanges for offering a wide range of derivatives products and being the sole firm licensed to provide perpetual futures, a highly popular derivatives offering in the region. These licenses have garnered attention from potential buyers, including Crypto.com and Trek Labs, as reported by Fortune. The interest from multiple parties indicates the value placed on FTX Europe’s licenses and its position in the derivatives market.