Copper launches agency lending platform for digital assets

• Copper’s platform marks a groundbreaking evolution in digital asset lending, with advanced visibility, settlement times, and flexibility
• Platform is designed to address the difficulties of current lending models, which has led to high-profile collapses

TUESDAY 11TH FEBRUARY 2025, Copper, a leader in collateral management services, has today launched its agency lending platform to set new standards in digital asset lending.

The platform integrates the strengths of both blockchain-based and traditional finance, while tackling the lack of visibility into high-risk positions which has been a major factor in high-profile collapses across both sectors.

Combining lending safeguards with digital assets

Engineered to enhance efficiency and transparency, the platform addresses the limitations of lending models in both blockchain and traditional finance.

Blockchain-based finance has revolutionised lending with unmatched transparency and speed but lacks the robust risk controls required by institutions, often relying on rigid yield algorithms. Conversely, traditional finance models offer flexible terms but are hindered by slow settlement times and a lack of transparency.

Copper’s new financing platform offers a transformative solution and bridges the gap between blockchain efficiency and institutional-grade risk management.

Clients can now benefit from real-time monitoring of loan health, near-instant settlements, and the flexibility to customise loan terms in line with traditional market standards. Loans are executed within hours instead of days, boosting capital efficiency.

Contagion risks often triggered by hidden leverage are addressed by a dedicated on-platform dashboard and risk management tools. The platform goes beyond a simple framework but actively enables institutions to seize opportunities and mitigate potential threats in real time.

Transforming digital asset lending through unique functionality

The platform marks a groundbreaking evolution in digital asset lending, with:

1. Loans executed in just a few clicks, eliminating unnecessary delays, intermediaries, and traditionally long settlement times.
2. Over-collateralised loans combining yield generation and secure recovery. Loans and collateral are marked-to-market every six minutes, allowing rapid response times to significant developments.
3. Real-time visibility via a dedicated on-platform dashboard enables immediate responses to market developments throughout the loan lifecycle.
4. Customized risk framework for clients ensuring position safety in the event of a Loan-to-Value breach.

• Direct lending ring-fencing loaned assets within Copper’s ClearLoop ecosystem, mitigating against bad actor risk and risk of exchange bankruptcy.
• Copper will act as the lender’s agent, handling the complete loan lifecycle and offering its 300+ institutional clients varied loan structures, including loans facilitated through Copper’s industry-leading off-exchange settlement network ClearLoop.

Amar Kuchinad, Global CEO of Copper.co added:

“We aim to offer a best-in-class agency lending platform for our institutional clients, while demonstrating blockchain’s potential to offer transparent, swift, and flexible financing that protects against over-leveraged losses before they spread. Our new platform is designed to transform lending by combining the transparency and speed of blockchain-based finance with the flexible terms of traditional finance.”

Supporting quotes

Shakti Pradhan, Finance Ops Admin, Stacks Foundation said:

"Working with Copper’s team has been a seamless experience. Their expertise and professionalism ensured the efficient deployment of Stacks Foundation assets, allowing us to optimise returns and expand our capabilities. Their support has also been instrumental in diversifying our treasury management tools, enhancing our overall strategy."

Andres Susi, Chief Business Development Officer & Co-Founder, Three Commas Technologies said:

"Partnering with Copper's Agency Lending programme has been a game-changer for optimising the yield on assets held in our treasury. The platform's security, transparency, and tailored approach provide us with confidence and optimal returns, all while minimising risk. It's a seamless and efficient solution for lending in the digital asset space."

Dave Vizsolyi, CEO, DV Chain said:

"Copper's financing desk provides access to a deep inventory of assets that we can borrow quickly on flexible terms that enables us to continuing providing unmatched liquidity to our institutional clients. The intuitive Copper platform provides a centralised place to access and manage our financing activities with greater operational efficiency.

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About Copper.co

Copper.co (“Copper”) is building the global best-in-class standard for institutional collateral management services. Powered by cutting-edge technology, Copper has built a comprehensive and secure suite of digital asset management products and services for over 300 institutional clients. At the core of Copper’s infrastructure is ClearLoop, which enables clients to manage collateral and settle trades across multiple exchanges, while mitigating counterparty risk and increasing capital efficiency.

LinkedIn: Copper.co

X (Formerly Twitter): @CopperHQ

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