The cryptocurrency firm chaired by Lord Hammond, the former chancellor, is in talks to recruit a new finance chief amid heightened scrutiny of the industry’s financial controls.

Sky News understands that Copper is targeting the appointment of Sam Goh, an executive at Onfido, the digital identity company, as its chief financial officer.

Industry insiders said the appointment of Mr Goh was at an advanced stage and expected to see him join in April.

A revamp of Copper's governance and management team has been underway for some time as it struggled to close a major new funding round amid turmoil in the crypto sector.

A cascade of leading names - led by FTX, whose founder, Sam Bankman-Fried, is facing criminal fraud charges - have collapsed during the last 12 months, casting a dark shadow over the prospects for cryptocurrencies and related businesses.

Copper provides custody, prime broking and settlement services to institutional investors deploying money into cryptoassets.

Founded in 2018, it now employs more than 300 people.

The company has been in talks with investors about a funding round that would value it at $2bn or more.

Some of these discussions, including with Barclays, have faltered in recent months.

Copper declined to comment on the appointment of a new finance chief.