Bybit integrates Komainu Connect to enable 24/7 trading with segregated institutional custody
Bybit has joined Komainu Connect, the collateral management platform from regulated custodian Komainu (backed by Laser Digital and Blockstream). The integration lets institutional clients trade around the clock while their assets remain held in regulated, bankruptcy-remote, on-chain segregated custody wallets. Key features include 100% collateral mirroring on-exchange, automated off-exchange settlement that removes the need to pre-fund exchange accounts, client-by-client segregated wallets for transparency and legal clarity, and broad institutional asset coverage. Komainu said the move reduces counterparty risk and provides frictionless market access; Bybit highlighted strengthened trust and custody capabilities for its institutional users. The partnership expands Komainu Connect’s direct integrations with exchanges, lenders and brokers, aiming to speed settlement and widen access to market counterparties. This is a sponsored press release and not investment advice.
Bullish
Integration of regulated custody with live exchange trading typically reduces counterparty and custodial risk for institutional participants. Key mechanics here — 100% collateral mirroring and automated off-exchange settlement — lower the friction and capital inefficiency created by pre-funding exchange accounts, which can increase institutional participation and volumes. Greater institutional access and trust tend to support higher liquidity and can be price-supportive for major crypto assets over time. Similar integrations (custodians partnering with exchanges or trading venues) historically coincided with improved institutional inflows and liquidity (for example, exchanges integrating with regulated custodians or custody services onboarding prime brokers). In the short term, the announcement may produce modest positive sentiment around Bybit and institutional trading desks, possibly increasing order flow and spreads tightening. In the medium to long term, if adoption rises, expect higher sustained liquidity, reduced execution risk for large trades, and potential increased demand for listed tokens — a bullish structural impact. Caveats: this is an operational/infra improvement rather than a market-moving product release; outcomes depend on actual uptake, regulatory moves, and macro market conditions, so immediate price reactions may be muted.