BitMEX, a derivatives-focused cryptocurrency change, mentioned it has secured a custody companion to allow asset segregation and buying and selling with off-exchange property.
The corporate announced Tuesday a partnership with Zodia Custody to permit merchants to entry derivatives whereas holding collateral in segregated custody. The combination is instantly accessible through Interchange, Zodia Custody’s off-venue settlement answer.
BitMEX CEO Stephan Lutz advised Cointelegraph the transfer displays classes from previous market failures, together with the FTX collapse and the $1.4 billion Bybit hackwhich uncovered dangers tied to unsegregated or compromised exchange-held funds.
“Instances just like the FTX collapse and the Bybit hack are examples of how custody failures or safety threats can put shopper funds in danger,” Lutz mentioned.
Buying and selling with out prefunding the change
Below the mixing, institutional {and professional} BitMEX shoppers can commerce derivatives with out transferring property straight onto the change. As a substitute, collateral stays in Zodia’s segregated vault and is mirrored for buying and selling execution.
This construction permits merchants to keep up management of property whereas accessing BitMEX’s derivatives, together with perpetual swaps and futures. It additionally helps cross-collateral utilization of Bitcoin (BTC), Ether (ETH), Tether USDt (USDT) and USDC (USDC).
This setup is designed to enhance capital effectivity for merchants by eradicating the necessity to transfer property between custody and change accounts. It additionally reduces operational threat tied to pre-funding workflows, that are frequent in conventional crypto buying and selling fashions.
Custody is a core a part of conventional finance markets
Zodia Custody, which launched in 2021 and is backed by Customary Chartered, is an institutional digital asset custody provider operating globally. The platform secured a Markets in Crypto-Belongings Regulation (MiCA) authorization in Luxembourg in late 2025, enabling regulated companies throughout the European Union.
BitMEX CEO famous that custody has lengthy been a core factor of conventional finance, changing into much more crucial following collapses like FTX and safety incidents just like the Bybit hack.
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“Custody is a core a part of conventional finance markets, and up to date instances like FTX and Bybit are clear examples of why it’s much more essential in crypto,” Lutz mentioned.
“Because the business matures, establishments are buying and selling digital property like every other asset — and may have entry to the identical companies as they do in conventional markets,” he added.
Further reporting by Felix Ng.
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