Hassan Maishera
US-based cryptocurrency exchange FTX has joined Copper.co’s ClearLoop settlement trading network, a move that would allow it to open up the cryptocurrency market to institutional investors.
FTX joins the ClearLoop settlement network
Leading cryptocurrency exchange FTX has announced that it has joined Copper.co’s ClearLoop settlement trading network. The move is expected to ensure the exchange gains new access to institutional funds.
According to a Bloomberg report, FTX’s entry into the network will see Copper’s client base of more than 300 institutional asset managers gain access to FTXs products, including derivatives, options and tokenized stocks. FTX’s funds would be secured on Copper’s platform.
Sam Bankman-Fried, FTX’s founder and chief executive officer, said, “Using a custodian is something we’ve been hearing again and again. A lot of people are going to want to use some sort of custodial network.”
The FTX CEO said the exchange is trying several things as no one knows how the cryptocurrency market would shape up regarding institutional investors. Bloomberg pointed out that FTX was the only one amongst the leading cryptocurrency exchanges to join the ClearLoop network.
“FTX has more than 1 million registered users, including institutional traders and family offices, according to the statement. Copper offers custody, prime brokerage and settlement services across 250 digital assets and more than 40 exchanges,” the report added,
Cryptocurrency exchanges like FTX, Coinbase, Gemini and others have been rolling services and features that would help them attract institutional investors. According to most experts, the crypto market is still in its early days of adoption, and billions of dollars would be coming from institutions over the next few years. The exchanges are developing features and adding services that would make them more appealing to the investors.
The institutional interest in cryptocurrencies continues to increase despite the recent decline in prices. Bitcoin’s price is still struggling below the $35k region as it remains down by over 40% from its all-time high.
