Bybit and Cactus Custody Unite to Enhance Cryptocurrency Security and Efficiency

Strategic Partnership Unveiled

Bybit, recognized as the world's second-largest cryptocurrency exchange by trading volume, has announced a groundbreaking partnership with Cactus Custody, a leader in digital asset custody solutions across Asia. The collaboration introduces Cactus Oasis, set to launch on July 28, 2025, which is designed to enhance the security, capital efficiency, and operational control for institutional clients.

Streamlined Trading for Institutions

With this partnership, professional and institutional clients can engage in trading activities on Bybit without needing to maintain pre-funded exchange accounts. The model functions by allowing clients to deposit collateral into Cactus Custody, where their assets are held in fully segregated and regulated custody. These assets will only transfer to Bybit for trading when the transaction is settled, significantly minimizing counterparty risk while maintaining access to market liquidity.

Shunyet Jan, Bybit's Head of Institutional and Derivatives, commented, “Bybit is committed to providing institutions with a secure and efficient trading environment. The integration of Cactus Oasis offers our clients greater flexibility in managing liquidity while safeguarding their assets.”

Enhanced Asset Security and Efficiency

Cactus Oasis allows institutional clients to trade on Bybit while their collateral remains securely stored in custody. Assets at Cactus Custody are safeguarded until a transaction is finalized, thus improving capital efficiency and meeting stringent internal control requirements.

Cactus Custody employs bank-grade security protocols, utilizing a layered hot and cold wallet system combined with hardware security module (HSM) encryption and institutional-level cold storage. Additionally, they have achieved certifications from Deloitte for SOC 1 Type 1 and SOC 2 Type 2, along with licensing as a Trust Company and Trust or Company Service Provider (TCSP) from the Hong Kong Monetary Authority, ensuring compliance with the standards upheld by leading financial institutions.

Catering to Institutional Needs

The Cactus Oasis solution also encompasses an overarching custody framework via Buffer accounts. This feature streamlines asset management across multiple exchanges, equipped with flexible risk controls, including double and pre-authorization modes, customizable approval and settlement workflows, and stringent compliance measures such as KYC, KYB, and KYT requirements. Role-based access and multi-level permissions facilitate robust management and operational efficiency.

Wendy Jiang, General Manager of Cactus Custody, remarked, “This integration with Bybit responds to the institutional demand for secure custody, risk mitigation, and efficient post-trade settlement. It represents a significant step toward enhancing the digital asset trading infrastructure and promoting institutional adoption.”

Promoting Global Institutional Adoption

Bybit and Cactus Custody share a unified vision of fostering institutional acceptance through compliant, transparent, and scalable infrastructure. The significance of this partnership is particularly pronounced within the Asia-Pacific region, where clarity in regulations, risk controls, and capital flexibility are essential for long-term engagement.

Through these efforts, both firms aim to bridge the gap between traditional financial markets and decentralized finance, ultimately empowering builders, creators, and enthusiasts to unlock the full potential of Web3. Discover more about Bybit's innovative solutions and the future of decentralized finance at Bybit.com.