Barclays is taking a stake in Copper, one of the most prominent names in the rapidly evolving cryptocurrency space, even as the industry continues to be rocked by a string of bankruptcies.
Sky News has learned the UK-based bank is among a host of new investors joining a funding round for Copper, which is advised by former Chancellor Lord Hammond.
City sources said Barclays is expected to invest a relatively modest sum in the millions as part of the round.
Fundraising is expected to be completed within a few days.
Copper provides custody, prime brokerage, and settlement services to institutional investors investing money in crypto assets.
Founded in 2018 by Dmitry Tokarev, the company has attracted investors from big names in the global venture capital sector such as LocalGlobe, Dawn Capital and MMC Ventures.
It was reported earlier this year that it was valued at at least $3 billion in its latest capital raise.
A number of key market players, including Three Arrows Capital and Celsius, have filed for bankruptcy in recent weeks, undermining confidence in the industry’s previously rapid growth.
Copper is also increasingly frustrated with the approach taken by UK financial regulators, prompting the company to set up a hub in Switzerland instead.
Barclays and Copper declined to comment.
Barclays acquires stake in $2 billion cryptocurrency firm Copper | Breaking News News
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