Bitfinex has announced the integration of ClearLoop, Copper’s instant off-exchange settlement and clearing network.
The London-based digital asset infrastructure provider offers a segregated custodian account that mitigates counterparty risk and reduces deposit and withdrawal waiting time.
The custodian account removes the need for institutional customers to move digital tokens from a secure cold wallet into an exchange’s hot wallet. ClearLoop eliminates these processes by enabling off-exchange settlement that can be delivered in less than one second, the firm claims.
Bitfinex’s integration of ClearLoop will facilitate the trading strategies among its growing number of customers from the institutional space, including algorithmic trading.
Paolo Ardoino, CTO at Bitfinex, said: “Our platform’s relationship with Copper is driving uptake of digital token trading among hedge fund and asset managers worldwide, transforming how institutional customers engage with digital tokens, by providing market-leading custody and trading solutions.”
Alex Ryvkin, CPO at Copper, commented: “We are proud to have Bitfinex as a key partner in ClearLoop, Copper’s instant off-exchange settlement, and clearing network. As the efficiency of crypto-markets improves and regulatory standards evolve, the institutional investment space gets more and more competitive. To keep winning, asset managers will have to prioritize infrastructure that is able to facilitate the full spectrum of traditional strategies, and beyond, alleviating some of the most common risks associated with the crypto-space.”
Copper aims to bridge the gap between conventional financial markets and digital token infrastructure. Copper caters to the needs of some of the most sophisticated institutions in the world that are now entering the space, according to Ryvkin.
Bitfinex has collaborated with Zug-based infrastructure provider Market Synergy to offer institutional standard cryptocurrency connectivity. High Frequency Trading (HFT) firms seeking exposure to crypto can obtain connectivity via a FIX feed or ISP link to Bitfinex’s digital asset gateway.
Now, Bitfinex’s integration with Copper will help bring more institutional market participants onto the platform and to the crypto space. The venue offers margin trading with up to 5x leverage and derivatives products including a perpetual swap contract offering 100x leverage.