Cantor Fitzgerald launches $2B Bitcoin financing business

Cantor Fitzgerald has launched a Bitcoin (CRYPTO:BTC) financing business, offering institutional investors leverage against their crypto holdings.

The initiative, announced on March 11, begins with $2 billion in initial capital and involves partnerships with Anchorage Digital and Copper as custodians and collateral managers.

Anchorage Digital operates the only federally chartered digital asset bank in the U.S., while Copper is a crypto custodian backed by Barclays.

Copper CEO Amar Kuchinad stated that the service addresses the "growing demand for sophisticated financing solutions" in the Bitcoin market.

“We are excited to help unlock Bitcoin’s full potential and continue bridging the gap between traditional finance and digital assets,” said Cantor Fitzgerald Chairman Howard Lutnick expressed enthusiasm for the initiative.

The firm plans to expand its lending pool in $2 billion increments based on demand.

This move builds on Cantor Fitzgerald’s increasing involvement in digital assets.

In 2024, the company acquired a 5% stake in Tether (CRYPTO:USDT), reinforcing its commitment to the crypto space.

With over $5 billion in assets under management, Cantor Fitzgerald serves more than 5,000 institutional clients globally.

The launch comes amid strong institutional interest in Bitcoin despite recent market volatility.

While recession fears and tariff concerns have triggered sell-offs, institutional demand remains robust.

Bitcoin exchange reserves recently hit two-year lows due to sustained buying pressure from large investors.

Cantor Fitzgerald joins other Wall Street firms entering the crypto custody space.

Citi and State Street plan to offer similar services by 2026, while Deutsche Boerse is set to launch Bitcoin and Ether (CRYPTO:ETH) custody next month.

This initiative positions Cantor Fitzgerald as a key player in integrating digital assets into traditional financial markets, offering new opportunities for institutional investors.

At the time of reporting, the Bitcoin (BTC) price was $82,430.91.