Barclays has a stake in Copper, one of the biggest names in the rapidly evolving cryptocurrency sector, even as the industry continues to be rocked by a series of bankruptcies.
Sky News has learned that the UK-based bank is among a number of new investors joining a funding round for Copper, which has former chancellor Lord Hammond among its advisers.
City sources said Barclays was expected to invest a relatively modest sum in the millions of dollars as part of the round.
Fundraising is expected to be completed in a few days.
Copper provides custody, prime brokerage and settlement services to institutional investors who deploy money in crypto assets.
The company, founded by Dmitry Tokarev in 2018, has attracted investors from big names in the global venture capital industry, including LocalGlobe, Dawn Capital and MMC Ventures.
It was reported earlier this year that it was aiming for a valuation of at least $3 billion in its latest capital raise, but has since lowered that, reflecting the growing crisis in the broader crypto-asset sector.
Several major market participants, including Three Arrows Capital and Celsius, have filed for bankruptcy in recent weeks, undermining confidence in the industry’s previously meteoric growth.
Copper has also become frustrated with the approach of UK financial regulators, prompting it to set up a hub in Switzerland.
Barclays and Copper declined to comment.
