Xena Exchange is one of the first exchanges that has integrated ClearLoop into its infrastructure. ClearLoop allows clients to keep their collateral within the certified off-exchange custody (Copper) and have zero credit risk on the exchange.
TABLE OF CONTENTS
What is ClearLoop?
ClearLoop is a technology offered by a London-based Copper that enables off-exchange settlement. As opposed to the usual flow on the cryptocurrency market, when a client or fund manager has to send funds to an exchange and take the credit risk on that exchange, client’s funds never leave the safe infrastructure of the custody:
Zero credit risk on the exchange
Instant off-chain transactions within the Copper infrastructure
Unprecedented security of funds stored in Copper
After setting up the accounts on Copper and Xena Exchange:
Delegate funds using Copper UI or API to one of your Xena Exchange accounts
The funds become immediately available on your Xena Exchange account
Execute trades on Xena Exchange using its web terminal or API
Once an hour your PnL is settled to your Copper account
Delegation of funds
The delegated funds are locked on your Copper account, but will not leave it until the hourly clearing session
The delegated funds are treated as the balance of your Xena Exchange account. That means that you can use them as margin for orders and positions
You can unlock the funds at any moment
Please note that you can unlock only “free” part of the funds (i.e. the balance of your exchange account minus total initial margin of your orders and positions)
Please make sure your margin level will stay sufficient after unlocking to avoid liquidation of your positions
Onboard to Copper
Open an account on Xena Exchange
Write an email to firstname.lastname@example.org to connect your account to Copper
Please note that for now it’s not possible to deposit or withdraw funds using the standard blockchain transactions to/from the accounts connected to Copper.