Binance is teaming up with Anchorage Digital, the first federally chartered crypto bank in the US, to offer institutional clients a way to trade on the exchange without actually leaving their assets there. The structure, known as a banking triparty arrangement, lets institutions park their trading collateral in a regulated third-party bank account while still executing trades on Binance.
How the triparty model works
The core idea is to physically separate where assets are stored from where they’re traded. The collapse of FTX in late 2022 taught institutions a painful lesson about counterparty risk. When an exchange holds both your assets and your trading positions, a single point of failure can wipe out everything. Binance’s triparty framework addresses this directly by routing custody through a regulated entity like Anchorage, which operates under the supervision of the Office of the Comptroller of the Currency (OCC).
Binance originally launched this triparty agreement as a pilot project in November 2023. Since then, the exchange has refined the program, lowering thresholds to make it accessible to a broader range of institutional clients and offering fee waivers through the end of 2025 to encourage adoption.
