Crypto Custody Firm Copper Faces Lower-Than-Expected Buyout Offers
Copper Receives Buyout Offers at Less Than Half Its Asking Price
Copper, a company that provides secure storage for cryptocurrency (called custody), is reportedly receiving buyout offers around $200 million. This is much lower than the $500 million price it was seeking earlier this year.
The London-based firm, which also operates in Switzerland, specializes in services for large financial institutions. It previously aimed to sell the company for $500 million but has not received offers matching that amount.
Key Details About the Offers
- Copper was once valued at $2.5 billion during the 2021 crypto market boom.
- It raised over $300 million from investors at that high valuation.
- Potential buyers have submitted two or three offers around $200 million, according to unnamed sources.
- The company did not respond to requests for comment.
- Investment bank Cantor Fitzgerald, which was marketing Copper for sale, also declined to comment.
Why the Valuation Dropped
The sharp decline in Copper’s valuation reflects the broader downturn in the crypto market. Companies that were valued in the billions during the 2021 boom are now being sold for much less.
Copper also faces challenges related to its preferred stock. This is a type of investment that gives certain shareholders priority over others in receiving payments if the company is sold or liquidated.
What Copper Does
Copper provides custody services, which means it securely stores cryptocurrency for clients, particularly large institutions. It also operates ClearLoop, a trading system that allows institutions to settle trades without moving assets onto the blockchain—a digital ledger that records transactions.
According to its website, Copper has over 1,000 active trading partners and handles more than $50 billion in trading volume each month.
What Is Confirmed
- Copper was previously valued at $2.5 billion and sought a $500 million sale price in May 2026.
- Potential buyers have submitted offers around $200 million, according to sources.
- Copper and Cantor Fitzgerald have not commented on the offers.
What Remains Unclear
- Whether Copper will accept any of the current offers.
- The identities of the potential buyers.
- How the company’s financial challenges, including preferred stock obligations, will affect the sale.
Why This Matters for the Crypto Industry
The lower valuation of Copper highlights the impact of the crypto market downturn on companies that grew rapidly during the 2021 boom. It also shows how investor expectations have shifted, with buyers now offering significantly less than what companies once sought.
For institutions using Copper’s services, the outcome of these buyout talks could affect the stability and future direction of the company.
