Hedera taps crypto custodian Copper to expand institutional access to HBAR tokens

Quick Take

  • Copper will provide custody and staking services for Hedera’s HBAR token and operate an on-ramp for institutional users into DeFi via its ClearLoop and Connect platforms.
  • The custodian, chaired by former U.K. Chancellor Philip Hammond, counts over 300 large institutions and crypto trading platforms as clients. 

London-based cryptocurrency custodian Copper is expanding institutional access to the Hedera blockchain via a partnership announced on Tuesday. In particular, Copper will provide custody and staking services for Hedera’s HBAR token and operate an on-ramp into the Hedera DeFi ecosystem.

Hedera, a public, decentralized network that uses a bespoke algorithm known as a “hashgraph,” is particularly focused on the emerging world of asset tokenization. Earlier this year blockchain firms Archax and Ownera issued a BlackRock Treasury fund on Hedera — though without BlackRock’s direct involvement

"Institutional investors now have a streamlined and secure path into the Hedera ecosystem thanks to Copper's integration,” Shayne Higdon, co-founder and CEO of the HBAR Foundation, told The Block in an email. 

Copper, chaired by former U.K. Chancellor Philip Hammond, has a clientele of over 300 large institutions and crypto trading platforms. The firm provides a number of asset management services and was among the first to build a crypto wallet using multi-party computation (MPC) technology.

HBAR will now be plugged into Copper’s ClearLoop settlement network, which was launched in 2020 and sources liquidity from a network of exchanges and OTC desks like Bybit, Deribit Kraken and OKX. Further, users can now plug the token into various DeFi protocols like Aave using Copper Connect, a Google Chrome risk management application geared towards institutions. 

Hedera, which raised $100 million in 2018 to build out its bespoke proof-of-stake network, has courted several blue chip names, including Google, FIS, Abrdn and Dell, to its governing council


Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.

© 2024 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

About Author

Daniel Kuhn is a Senior Journalist and Editor at The Block, where he covers the crypto industry with a particular focus on tech. He previously served as deputy managing editor of opinion/features at CoinDesk. He first appeared in print in Financial Planning, a trade publication magazine. Before journalism, he studied philosophy as an undergrad, English literature in graduate school and business and economic reporting at an NYU professional program. You can connect with him on Twitter and Telegram @danielgkuhn or find him on Urbit as ~dorrys-lonreb.

Editor

To contact the editor of this story:
Lawrence Lewitinn at
[email protected]