Bybit and Cactus Custody Unveil Strategic Partnership to Enhance Digital Asset Security and Efficiency

Strategic Partnership Announcement

In a notable development within the cryptocurrency market, Bybit, the world's second-largest cryptocurrency exchange by trading volume, has announced a strategic partnership with Cactus Custody, a leading digital asset custodian licensed and compliant in Asia, owned by Matrixport Group. This collaboration aims to launch a solution for off-exchange settlements via Cactus Oasis, specifically designed to enhance asset security, capital efficiency, and operational control for institutional clients. The integration will be operational starting July 28, 2025.

Streamlined Trading for Institutional Clients

The significance of this partnership lies in its ability to allow institutional and professional clients to trade directly on Bybit without needing to pre-fund the accounts they use for exchange transactions. Instead, clients will deposit collateral with Cactus Custody, where their assets are securely held in independent custody. Transfer to Bybit will only occur at the point of settlement for transactions, thereby significantly reducing counterparty risks while retaining access to market liquidity.

Shunyet Jan, Head of Institutional and Derivatives at Bybit, emphasized this commitment by stating, "Bybit is dedicated to providing a secure and efficient trading environment for institutions. The integration with Cactus Oasis offers our clients greater flexibility in liquidity management without compromising asset protection."

Enhancing Security and Capital Efficiency

Cactus Oasis allows institutional clients to conduct trading on Bybit while keeping their collateral securely stored and independent. By utilizing Cactus Custody, assets remain protected until transaction completion, thereby promoting capital efficiency and adhering to strict internal governance requirements.

Cactus Custody guarantees bank-level security through a multi-layered hot and cold wallet system that integrates hardware security module (HSM) encryption with institutional-grade cold storage. Having received SOC 1 Type 1 and SOC 2 Type 2 certifications from Deloitte, along with licenses as a Hong Kong Trust Company and Trust or Company Service Provider (TCSP) from the Hong Kong Monetary Authority, Cactus Custody meets the compliance standards of major financial institutions.

Purpose-Built for Institutional Needs

Cactus Oasis includes multi-platform custody via Buffer accounts, simplifying the management of resources across multiple exchanges. It provides flexible risk controls such as dual authorization modes, pre-authorization settings, customizable approval flows, and compliance with KYC, KYB, and KYT requirements. Role-based access and multi-level permissions ensure robust governance and operational efficiency.

Wendy Jiang, General Manager of Cactus Custody, remarked, "This integration with Bybit addresses institutional needs for secure custody, risk reduction, and post-trade settlement efficiency. It represents a significant advancement in infrastructure for digital asset trading and supports institutional adoption."

Promoting Global Institutional Adoption

Both Bybit and Cactus Custody share a common vision of facilitating institutional adoption through scalable, transparent, and compliant infrastructure. This partnership is particularly impactful for institutions in the Asia-Pacific region, where regulatory clarity, risk controls, and capital flexibility are essential for long-term engagement in the cryptocurrency ecosystem.

Bybit stands as a prominent exchange, servicing a global community of over 70 million users. Founded in 2018, Bybit aims to redefine openness in the decentralized world by creating a more accessible and equitable ecosystem for all. With a strong focus on Web3, Bybit collaborates strategically with leading blockchain protocols to provide a robust infrastructure and promote on-chain innovation. Discover the future of decentralized finance at Bybit.com.

For more details about Bybit, visit Bybit Press Room. Follow Bybit’s community and social media for continuous updates, including Discord, Facebook, Instagram, LinkedIn, Reddit, Telegram, TikTok, Twitter, and YouTube.