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# Cantor Fitzgerald's Early Crypto Bet Pays Off, On Track for Record Year

By Long Yue  

Source: Wall Street CN  

An early bet on cryptocurrencies is delivering substantial returns for Cantor Fitzgerald — the former Wall Street employer of U.S. Commerce Secretary Howard Lutnick — propelling the financial firm toward its best year ever.  

Citing people familiar with the matter, the Wall Street Journal reported on November 26 that the privately held investment bank and financial services company is on track to generate over $2.5 billion in revenue this year.  

Investment banking revenue alone is expected to surpass $1 billion, nearly doubling the previous record of $650 million set in 2021. Amid a broad slowdown in trading activity, few Wall Street firms have managed to exceed their 2021 performance levels.  

This strong showing comes as the company completes a generational leadership transition. Following Lutnick's departure in February to become U.S. Commerce Secretary, his two sons have taken over top executive roles — chairman and executive vice chairman.  

## Crypto Business Emerges as Key Growth Driver  

The core of Cantor Fitzgerald's revenue growth lies in its deep layout in the cryptocurrency sector. According to insiders, the firm has raised over $40 billion for crypto-related entities this year and is on pace to hit $50 billion by year-end.  

Cantor's crypto journey began in 2018, initially partnering with Bitcoin miners before expanding to exchanges and custodians. As previously reported, the firm not only holds a significant portion of the reserve assets of Tether — the world's largest stablecoin — but also owns a convertible bond that entitles it to approximately 5% of Tether's equity.  

Additionally, Cantor has launched a lending business for Bitcoin holders and backed a special purpose acquisition company (SPAC) that, in collaboration with Tether and SoftBank, aims to establish a publicly traded Bitcoin vault company.  

## The Lutnick Family's New Role  

With Howard Lutnick entering public service, his eldest son Brandon Lutnick, 27, and second son Kyle Lutnick, 29, have assumed the roles of chairman and executive vice chairman of Cantor Fitzgerald, respectively. Howard Lutnick has transferred his ownership stake in the company to a trust benefiting his children.  

While legally separated from the firm's operations, Howard Lutnick's influence endures. His two sons have emerged as the public faces of Cantor's crypto business, regularly attending industry conferences and building relationships with regulators and sector leaders.  

Company executives noted that the investment banking division has doubled its headcount over the past two years. Chairman Brandon Lutnick stated that while cryptocurrencies are a recent highlight, the firm's vision is broader: to "become the bank of choice across all sectors."  

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