Investment banking powerhouse Cantor Fitzgerald boldly pushes into the digital asset space, selecting Anchorage Digital and Copper as its Bitcoin custodians and collateral managers.
The move, announced on March 11, comes as Cantor Fitzgerald rolls out a Bitcoin financing business with an initial $2 billion, offering institutional investors the ability to borrow against their crypto holdings.
This marks another major step in institutional Bitcoin adoption, reinforcing the growing demand for regulated digital asset financing solutions.
Cantor Fitzgerald is entrusting Anchorage Digital and Copper with the custody and security of client assets as part of its institutional-grade approach.
- Anchorage Digital operates the only federally chartered digital asset bank in the U.S., providing institutions with compliant and regulated custody services.
- Copper, backed by British banking giant Barclays, is a leading crypto custodian specializing in institutional-grade security and asset protection.
By leveraging two of the most respected digital asset custodians, Cantor Fitzgerald ensures that client assets remain secure, fully compliant, and accessible for institutional financing needs.
Institutional Demand for Bitcoin Financing on the Rise
Cantor Fitzgerald has been steadily expanding its digital asset strategy since unveiling plans for its Bitcoin financing business in July 2023.
- The goal: Provide leverage to investors holding Bitcoin, allowing institutions to use BTC as collateral for liquidity.
- Since then, Cantor Fitzgerald has deepened its exposure to the crypto market, including acquiring a 5% stake in stablecoin issuer Tether.
- Based on its latest regulatory filings, the firm now manages over $5 billion in assets.
Copper CEO Amar Kuchinad emphasized that this offering would help institutional investors diversify into digital assets, highlighting the growing demand for sophisticated financing solutions in Bitcoin.
The Next Institutional Battleground
Cantor Fitzgerald’s move comes amid a broader wave of institutional adoption of Bitcoin and crypto custody services.
- U.S. Spot Bitcoin ETFs have fueled institutional interest, with Bitcoin exchange reserves hitting two-year lows due to large-scale institutional buying.
- Despite recent market volatility, major Wall Street players are entering the crypto custody race:
- Citi and State Street are planning to offer crypto custody services by 2026 (Forbes).
- Deutsche Boerse is launching Bitcoin and Ethereum custody next month (Bloomberg).
With major financial institutions rapidly building infrastructure for digital asset custody and financing, Cantor Fitzgerald’s $2 billion Bitcoin lending initiative clearly signals that institutional crypto adoption is accelerating.
What’s Next?
Cantor Fitzgerald’s entry into Bitcoin-backed lending and institutional custody services represents another step toward the mainstream financial integration of digital assets.
- If institutional demand continues rising, more traditional banks could follow suit, expanding crypto custody and financing options.
- With regulations tightening globally, firms like Anchorage Digital and Copper are well-positioned to become key players in compliant crypto asset management.
- Bitcoin’s role as a financial asset class is becoming harder to ignore, with Wall Street firms actively competing to service institutional crypto needs.
As the institutional Bitcoin revolution gains momentum, Cantor Fitzgerald’s strategic move signals that crypto’s next growth phase is driven by legacy financial giants, not just crypto-native firms.
