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Copper, a leader in digital asset custody, collateral management and prime services has partnered with Radix, a decentralized network that aims to provide a radically better user and developer experience for Web3 and DeFi applications.
Through the integration, Radix (XRD) is now available as part of Copper’s institutional custody services.
Copper provides a safe and seamless gateway into crypto for institutional investors, with a focus on custody and collateral management for over 600 digital assets and hosts over $50 billion in monthly notional trading volume.
Copper provides institutional custody services for institutions such as Brevan Howard Digital, a subsidiary of the hedge fund Brevan Howard, which holds over $25 billion in assets, and 21Shares, the world's first and largest crypto ETP issuer, which manages over $3.5 billion in assets.
In 2021, Copper successfully completed a series B investing round led by Dawn Capital, Europe’s leading specialist B2B software investor, with assets under management of $1.5B; and Target Global, an international investment firm headquartered in Berlin, with more than €1.5B in assets under management; household name Barclays bank also participated in this funding round, looking to acquire a stake in Copper and the Web3 market.
Why Institutional Crypto Custody Solutions are Important
Custody solutions like Copper’s help to ensure the security of billions of dollars of digital assets for Hedge Funds, Banks and more. Institutional capital has complex requirements with regards to custody of their assets, including stringent regulatory requirements around asset security, reporting, and compliance. Because of this, professional custody solutions like Copper’s are needed to meet these requirements, and enable the billions of dollars of institutional capital to interact with DeFi and Web3.
As anyone who has used the Radix Wallet will know, Radix offers the most intuitive and secure user experience in Web3, thanks to features like Smart Accounts, truly human readable Transaction Reviews, and transaction guarantees.
Add in the asset-oriented nature of Radix and users have further protection, as tokens on Radix are native assets that behave like real-life “physical objects.” This improves the safety and security of users’ assets because Radix provides the underlying logic for asset behavior, rather than relying on smart contract developers who can make mistakes. This means that on Radix, many of the significant losses caused in other networks due to hacks and exploits are made impossible.
Although Radix provides the tools and technology needed for the everyday user to experience Web3 in a safe and easy way, institutional investors have more bespoke requirements than what the everyday user might need from the Radix Wallet, and that’s where Copper comes in with their award-winning custody solutions.
Copper provides award-winning custody solutions for clients thanks to its unique security model, which relies on four pillars:
Each vault is controlled by three individual entities: Shards are created in isolation and managed by three separate entities: Client, Copper, and a Trusted Third Party. This means that no single entity has full and direct control over the client’s assets.
Funds are stored in segregated vaults: funds can be held in segregated vaults at the blockchain level for 60+ networks and 600+ digital assets.
2 of 3 quorum: A 2 of 3 quorum is required for signing asset transfers from the vaults, adding a natural redundancy layer into the architecture.
No private key is ever created: At no point is the private key generated or assembled for transaction signing.
By offering a safe, compliant and easy way for institutions to interact with Web3, this furthers the adoption of the industry, and makes it more likely for these large players to discover and deploy capital into networks like Radix.
What Does This Mean for Radix?
With Radix now part of its custody offering, this opens the Radix Network and its ecosystem to a wider base of institutional clientele with assets in the billions of dollars, marking a significant step in achieving the goals laid out as part of the Breakout 2024 campaign.
This integration further strengthens the belief that Web3 and DeFi are steadily seeing more adoption by large institutional players, thanks to the infrastructure solutions provided by Copper.
About Copper
Since being founded in 2018, Copper has been building the standard for institutional digital asset infrastructure with a focus on custody and collateral management. Underpinned by multi-award-winning technology, Copper has built a comprehensive and secure suite of products and services required to safely custody and trade digital assets. At the core of Copper’s infrastructure is ClearLoop, which enables clients to manage collateral and settle trades in near real time across multiple exchanges, while mitigating counterparty risk and increasing capital efficiency.