FTX Integrates Copper Trading Tool ClearLoop
13 Jul, 2021•1 min read•Other
Crypto exchange FTX has integrated ClearLoop, a trading tool from infrastructure provider Copper.
Copper introduced ClearLoop last year to remove the need for traders to deposit digital assets with an exchange in a hot wallet before being able to trade, a requirement that raised concerns the assets would be vulnerable to hacks. ClearLoop allows institutional investors to hold on to assets until just before a trade is executed. The integration will allow Copper's client base of more than 300 institutional asset managers to trade FTX products with funds secured by Copper, according to an emailed announcement Tuesday. Clients are able to retain their trading capital, either in a cold wallet or a custodial solution, while trades are initiated. ClearLoop transfers the assets to the buyer through an exchange once the trade has been completed. Co-founder of FTX, Sam Bankman-Fried said integration will enable the exchange to "stay ahead of the pack" through a "reduced level of counterparty risk required by many institutions."