Cantor Fitzgerald has partnered with Anchorage Digital and Copper to serve as its Bitcoin custodians and collateral managers as it ventures into the digital asset financing business, aiming at institutional investors. With an initial capital of $2 billion, Cantor Fitzgerald announced the launch of its Bitcoin financing business allowing institutional investors to leverage their crypto holdings. Anchorage Digital and Copper will act as custodians and collateral managers to ensure the security of clients’ digital assets. Anchorage Digital, the only federally chartered digital asset bank in the United States, and Copper, backed by Barclays, will play crucial roles in this business endeavor. Copper CEO Amar Kuchinad highlighted the significance of Cantor Fitzgerald’s new offering in helping institutional investors diversify their portfolios in digital assets amidst a growing demand for sophisticated financing solutions in the Bitcoin space. Cantor Fitzgerald revealed plans for its BTC financing business last year and has since expanded its presence in the digital asset market, including acquiring a stake in stablecoin issuer Tether. The investment banking firm manages over $5 billion in assets, as per regulatory filings. The move comes amid strong institutional demand for Bitcoin despite market volatility, with more Wall Street firms entering the custody business to cater to the rising interest in cryptocurrencies. Institutional Bitcoin investments continue to rise, and major financial institutions like Citi and State Street are gearing up to offer crypto custody services. German exchange group Deutsche Boerse is also set to introduce Bitcoin and Ether custody services next month. This shift towards cryptocurrency custody services indicates a growing acceptance and interest in digital assets within the traditional financial sector.