Cantor Fitzgerald Completes First Bitcoin Lending Transaction, Providing Over $100 Million Loan
According to Cointelegraph, Wall Street financial firm Cantor Fitzgerald has completed its first Bitcoin lending transaction, providing Bitcoin-backed loans to FalconX and Maple Finance. FalconX has secured a loan limit of over $100 million.
Cantor announced its Bitcoin financing business in July 2024, with initial capital of $2 billion, aiming to attract institutional investors looking to utilize Bitcoin. Anchorage Digital and Copper will serve as custodians and collateral management.
During the digital asset crisis in 2022, Celsius Network and BlockFi collapsed due to poor risk management. The total crypto lending market in 2024 is $36.5 billion, down 43% from the historical peak in 2021.
Cantor is one of the most traditional financial services companies in the U.S., founded in 1945, offering services including investment banking, brokerage, and sales of equities and fixed income. CEO Howard Lutnick supports classifying Bitcoin as a commodity and calls for a regulatory framework for cryptocurrencies in the U.S.
