Cantor Fitzgerald Launches $2B Bitcoin Financing Business with Anchorage Digital and Copper

Cantor Fitzgerald, a prominent investment banking firm, has selected Anchorage Digital and Copper as its Bitcoin custodians and collateral managers as it launches its new digital asset financing business targeting institutional investors. This strategic move is aimed at enhancing the security and operational efficiency of its Bitcoin collateral management. Anchorage Digital and Copper will be responsible for overseeing the custody and management of Bitcoin collateral, ensuring that clients' digital assets are safeguarded with the highest standards of security and operational support.

In a March 11 announcement, Cantor Fitzgerald revealed that it is rolling out its Bitcoin (BTC) financing business with $2 billion in initial capital. This initiative is designed to help institutional investors borrow against their crypto holdings, providing them with the liquidity they need to diversify their portfolios and explore new investment opportunities. The collaboration with Anchorage Digital and Copper underscores Cantor Fitzgerald's commitment to providing robust and secure solutions for its clients in the rapidly evolving digital asset landscape. By leveraging the expertise of these two leading digital asset custodians, Cantor Fitzgerald aims to offer a comprehensive suite of services that cater to the growing demand for Bitcoin financing. This partnership is expected to bolster the firm's position in the market, as it continues to innovate and adapt to the changing needs of its clients.

The appointment of Anchorage Digital and Copper as custodians for Cantor Fitzgerald's Bitcoin financing business is a significant development in the financial industry. It highlights the increasing importance of digital assets and the need for secure and reliable custodial services. Anchorage Digital is an institutional cryptocurrency platform that operates the only federally chartered digital asset bank in the United States. Copper, on the other hand, is a crypto custodian backed by a major financial institution, ensuring that clients' digital assets are safeguarded with the highest standards of security and operational support. Copper CEO Amar Kuchinad emphasized that Cantor Fitzgerald’s new offering will help institutional investors “diversify their portfolios” into digital assets, citing the “growing demand for sophisticated financing solutions” in the Bitcoin space.

Cantor Fitzgerald unveiled plans for its BTC financing business in July of last year “to provide leverage to investors who hold Bitcoin.” Since then, the company has broadened its exposure to the digital asset market, including acquiring a 5% stake in stablecoin issuer Tether. This strategic move further solidifies Cantor Fitzgerald's position as a leader in the digital asset space