Crypto market maker Wintermute has secured a bitcoin-backed credit line from Cantor Fitzgerald, aiming to bolster its operations amidst rising institutional demand for digital assets. The size of the deal with Cantor, which is anticipated to offer up to $2 billion in financing during its initial phase, has not been disclosed. This comes on the heels of Cantor’s recent financing agreements with Maple Finance and FalconX. Wintermute's CEO, Evgeny Gaevoy, emphasized that the new facility will enhance their risk management capabilities across exchanges and help maintain market coverage. As the landscape for cryptocurrency lending and borrowing evolves, some firms faced significant challenges in recent years leading to losses and bankruptcies. However, Wintermute is expanding its footprint in the U.S. during a time of increased trading activity under a more favorable regulatory environment. Gaevoy noted the impact of developments such as ETF approvals and interest rate changes driving interest in assets like bitcoin and stablecoins.

Source 🔗