#USA #Bybit #Dubai #Cactus Custody #Cactus Oasis

Bybit and Cactus Custody Join Forces

In a significant move within the cryptocurrency space, Bybit, the world's second-largest cryptocurrency exchange by trading volume, has announced a strategic partnership with Cactus Custody, a leading regulated digital asset custodian and a subsidiary of Matrixport Group. This collaboration aims at enhancing the security and efficiency of asset management for institutional clients through the integration of Cactus Oasis, an innovative off-exchange settlement solution set to go live on July 28, 2025.

Enhancing Client Flexibility

The partnership allows institutional and professional clients to trade directly on Bybit without the need for pre-funding exchange accounts. Instead, clients will secure their assets with Cactus Custody, where they are kept in a fully segregated and regulated manner. The assets will only transfer to Bybit at the settlement of the transaction, substantially reducing counterparty risk while still maintaining liquidity access in the market.

Shunyet Jan, Bybit's Head of Institutional and Derivatives, commented, “Bybit is committed to providing institutions with a safe and efficient trading environment. The integration of Cactus Oasis offers our clientele greater flexibility in liquidity management without sacrificing asset protection.”

Strengthening Security and Capital Efficiency

Cactus Oasis allows institutional clients to conduct trades on Bybit while securely holding their collateral in an independent deposit. The assets remain protected by Cactus Custody until the transaction is settled, thus improving capital efficiency and adhering to strict internal governance requirements.

Cactus Custody employs a bank-level security system featuring a sophisticated hot and cold wallet structure. This combines hardware security module (HSM) encryption with institutional-grade cold storage, ensuring that clients enjoy the highest standards of asset safety. The solution has attained SOC 1 Type 1 and SOC 2 Type 2 certifications from Deloitte and is licensed as a trust company in Hong Kong, complying with the standards required by major financial institutions.

Cactus Oasis: Designed for Institutions

Cactus Oasis also features multi-platform custody through Buffer accounts, which streamline asset management across multiple exchanges. This feature incorporates flexible risk controls, including dual authorization and pre-approval modes, customizable approval and settlement workflows, and compliance with KYC, KYB, and KYT requirements. Role-based access with multi-level permissions ensures robust governance and operational efficiency.

Wendy Jiang, General Manager of Cactus Custody, stated, “This integration with Bybit meets institutions' demand for secure custody, risk reduction, and efficient post-trade settlement. It marks a vital step towards enhancing the trading infrastructure for digital assets and fostering broader institutional adoption.”

Paving the Way for Global Institutional Adoption

The union between Bybit and Cactus Custody is vital in supporting institutional adoption of a transparent, compliant, and scalable infrastructure. This partnership holds particular importance in the Asia-Pacific region, where regulatory clarity, risk control, and capital flexibility are pivotal for long-term engagement within the market.

Both Bybit and Cactus Custody share a common vision to propel institutional adoption in the evolving crypto landscape. This initiative can significantly impact the way institutions engage with digital assets, fostering greater trust and participation in the cryptocurrency ecosystem.

Bybit continues to redefine its platform's offerings, focusing on creating a more open and equitable environment for all participants in the decentralized finance landscape. As it partners with leading blockchain protocols, Bybit's commitment to innovation continues to flourish.

For more information about Bybit, visit Bybit Press. Follow their social media platforms for updates.