The renowned financial group Cantor Fitzgerald has officially conducted its first transactions in the Bitcoin lending sector, marking a strong entry into the world of digital assets with an expected scale of up to 2 billion USD in the initial phase.
Starting with FalconX and Maple Finance
On May 14, Cantor announced the successful implementation of its first transactions in the Bitcoin lending sector, with two pioneering clients being FalconX (prime broker) and Maple Finance (DeFi lending platform).
This marks the beginning of a financial project worth up to 2 billion USD, aimed at providing leverage for investors holding Bitcoin – meaning users can pledge Bitcoin to borrow from Cantor.
Why is this a major milestone?
Speaking about this move, Chairman #CantorFitzgerald – Brandon Lutnick – stated:
“From the beginning, Cantor recognized the revolutionary impact of digital asset financial services on the global economy.”
He emphasized that the combination of deep expertise in traditional finance and entrepreneurial spirit has given Cantor a competitive advantage on Wall Street in serving crypto and digital asset clients.
Connecting crypto and traditional finance
This event is the latest example of the strong intersection between traditional finance and the crypto world. Cantor announced plans to enter the Bitcoin finance sector in July 2023, and to date has realized that commitment through actual transactions.
Notably, the decision to expand into this field came before Howard Lutnick – co-founder of Cantor – was nominated by President Donald Trump as the Secretary of Commerce of the United States.
Supplementing 'institutional-standard' infrastructure for crypto
One of the major challenges of the current crypto market is the lack of institutional-grade credit infrastructure – something that is already familiar in the traditional market.
Mr. Josh Barkhordar, Sales Director at FalconX, commented:
“The partnership between Cantor and native crypto firms like FalconX is a significant step towards building a financial ecosystem with depth and reliability equivalent to traditional markets.”
Protecting digital assets with major partners
Cantor stated that it is collaborating with two reputable security platforms to manage and monitor clients' collateral assets:
Anchorage Digital: A crypto trading platform for institutions, licensed to operate as a federal bank in the US since 2021. Recently, Anchorage was also licensed by the New York Department of Financial Services (NYDFS) #BitLicense – allowing official operations in the world's largest financial center.
Copper: A London-based company providing custody, trading, staking, and DeFi solutions for institutional investors since 2018.
Impact on crypto users and the market
Cantor – one of the veteran financial groups on Wall Street – committing to invest up to 2 billion USD in the Bitcoin lending sector not only helps increase market liquidity but also:
Creating a reliable bridge between traditional finance and digital assets.
Promoting the legitimacy and reliability of the crypto market.
Affirming that Bitcoin and digital assets are gradually becoming an indispensable part of the global financial system.
Connecting with the crypto market: This move is a clear sign that major financial institutions are increasingly valuing Bitcoin as a real asset. For users on platforms like Binance, the participation of traditional investment banks in the crypto market is a positive signal for liquidity, financial leverage, and long-term sustainable development.
Risk warning: Although the trend toward institutionalization brings stability, investors still need to be cautious as the crypto market is always highly volatile. Investing in digital assets may entail the risk of capital loss and is not suitable for everyone. Please consider carefully before participating. #anhbacong