Crypto Exchange BitMart to Join Custodian Copper’s ClearLoop Network
Crypto exchange BitMart is set to offer its institutional clients off-exchange settlement by partnering with digital assets custody firm Copper, the company said in a statement on Thursday.
BitMart will be joining Copper’s ClearLoop network subject to contracts and the completion of technical integration. Once completed, its institutional clients will be able to trade on the BitMart exchange while their digital assets remain safeguarded in Copper’s custody.
Copper’s ClearLoop network connects multiple exchanges in one secure trading loop, with real-time settlement across numerous networks.
The collapse of crypto exchange FTX has led to a greater focus on using regulated custodians and the custody revenue opportunity could grow to $8 billion by 2033, brokerage firm Bernstein said in a research report Tuesday.
“Institutional crypto investors are, above all, seeking out ways to better safeguard their assets and optimize their trading,” said Victor Wei, vice-president of institutional clients at BitMart, adding that “ClearLoop meets these demands and in so doing is contributing to the maturing of the ecosystem.”
London-based Copper inked a $500 million insurance deal with U.K. insurance giant Aon (AON) in November, arranging cover for half a billion dollars worth of digital assets kept in cold storage, in one of the biggest such deals in the industry.
BitMart was the victim of a hacking incident in December 2021, leading to $196 million of cryptocurrencies being stolen. The exchange’s CEO said at the time that it would compensate affected users out of its own funds.
Read more: Crypto Custodian Copper Raises $196M in Series C Funding Round