Crypto Custody Firm Copper Seeks $500M Sale as ClearLoop Draws Buyer Interest

TLDR

• Copper is seeking a sale at a valuation of about $500M, according to people familiar with the matter.
• Cantor Fitzgerald has reportedly been appointed to advise Copper on the potential sale process.
• Copper’s ClearLoop platform supports off-exchange settlement for institutional crypto trading.
• ClearLoop serves over 1,000 active counterparties and handles more than $50B in monthly volume.
• Copper shifted focus to ClearLoop after closing its enterprise custody business in 2023.

Crypto custody firm Copper is seeking a buyer at a valuation of about $500 million, according to people familiar with the matter. The move marks a shift from earlier consideration of a public listing and comes during a period of active dealmaking across digital asset infrastructure.

Cantor Fitzgerald has been appointed to advise on the sale process, according to the sources cited in reports. Copper and Cantor Fitzgerald did not provide public comments on the matter.

The U.K.-based company is best known for ClearLoop, its in-custody settlement network for institutional crypto trading. The platform allows clients to settle trades while assets remain in custody, reducing the need to move funds directly onto trading venues.

ClearLoop Remains Copper’s Core Asset

ClearLoop is viewed as Copper’s main business line after the firm closed its enterprise custody business in 2023 to focus on institutional settlement. The system supports delivery versus payment settlement, allowing parties to exchange assets and payment obligations while lowering counterparty and settlement risk.

Copper says ClearLoop serves more than 1,000 active counterparties and handles over $50 billion in monthly notional trading volume. The network is used by institutional firms seeking custody-based access to liquidity without placing assets directly on exchanges.

The platform has also been connected to BitGo through a partnership focused on expanding ClearLoop access. Institutional custody and off-exchange settlement have become more closely watched after a series of market failures increased demand for safer trading infrastructure.

IPO Plans Give Way to Sale Talks

Copper had previously weighed an initial public offering, joining other crypto custody firms that explored public market options. That path has become harder as crypto IPO activity remains limited and investor capital has shifted heavily toward artificial intelligence companies.

Bitcoin trading below $80,000 has also cooled enthusiasm for some crypto-linked public listings. While private and strategic buyers remain active, public market demand for digital asset infrastructure firms has been more selective.

Copper’s reported sale process reflects a wider trend toward mergers and acquisitions in the crypto sector. Firms with custody, settlement, tokenization and stablecoin infrastructure are attracting attention from financial institutions, fintech companies and crypto-native platforms.

The company’s valuation target of about $500 million would place the transaction below some recent infrastructure deals but may reflect current market conditions, competition and investor focus on profitable or high-volume business lines.

Crypto Infrastructure Deals Stay Active

The digital asset sector has seen several large transactions this year as companies seek regulated services and institutional-grade systems. Mastercard agreed to buy U.K.-based stablecoin infrastructure firm BVNK for up to $1.8 billion, expanding its exposure to blockchain-based payments.

Kraken parent Payward agreed to acquire derivatives platform Bitnomial, while Bullish announced a $4.2 billion deal to buy Equiniti in a transaction tied partly to tokenization infrastructure. Standard Chartered also moved to buy the remaining shares of Zodia Custody that it did not already own.

The custody market remains competitive as banks, fintech firms and crypto companies build services for asset managers, hedge funds and trading firms. Regulatory requirements, client risk controls and demand for off-exchange settlement have made custody infrastructure a central area for investment.

Copper’s sale effort comes as institutional crypto trading continues to rely on systems that separate custody from execution. ClearLoop’s model is designed for that demand by allowing clients to keep assets within custody while trading across connected venues.

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