Bitget Partners With Copper To Launch Off-exchange Settlement Solution

Key Points:

• Bitget would collaborate with Copper to provide an off-exchange settlement option.
• It allows institutional customers to trade and settle across exchanges in near real-time, reducing counterparty risk and enhancing capital efficiency.
• The exchange is the sixth exchange to join Copper’s ClearLoop network this year.

Bitget, a cryptocurrency exchange, said Thursday that it would collaborate with custody company Copper and join the ClearLoop network.

Bitget’s integration with ClearLoop will enable both businesses’ institutional customers to keep digital assets inside Copper’s infrastructure while delegating those assets to trade on the exchange. Customer assets are deposited on the Copper platform and connected to Bitget accounts. This amount is instantaneously mirrored in the Bitget account, which permits active trading of over 450 currencies and 580 trading pairings. Changes in the balance between the two accounts are automatically resolved through API.

This year, Bitget will be the sixth major exchange to connect with Copper and join the Clear Loop network.

Bitget’s Managing Director, Gracy Chen, stated:

“Institutional crypto investors are primarily seeking ways to safeguard their assets and optimize trading. Bitget’s partnership with Copper exemplifies our ongoing efforts to boost confidence among institutional crypto users. ClearLoop and its innovative trust documentation meet these demands, and in doing so, contribute to the maturing of the ecosystem. We look forward to continuing our collaboration with the Copper team as we expand our institutional offering.”

Copper has designed a new account structure unique to ClearLoop, over which an English law trust is formed, to mitigate the bankruptcy risk of any ClearLoop member. Copper is designated as a security trustee and is in charge of the assets on behalf of the beneficiaries.

Customers and exchanges award each other security interests in their assets held in trust. The exchange places collateral inside the trust to assist payment in accordance with the established settlement timetable.

Copper’s financial risk team monitors the collateral 24 hours a day, seven days a week, providing customers and exchanges confidence that settlement commitments will be completed. If Copper became bankrupt, the crypto assets held in trust would not be included in Copper’s insolvent estate.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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Harold

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