Standard Chartered Brings Zodia Custody In-House While Launching Zodia Solutions
In a strategic restructuring move, Standard Chartered plans to integrate Zodia Custody's regulated digital asset operations internally while establishing Zodia Solutions as a separate entity, reflecting a growing trend among major financial institutions to control critical crypto custody capabilities.
Standard Chartered has confirmed that shareholders have approved its proposal to take over Zodia Custody's operations.
The transaction, which was made public on Monday, aims to streamline Standard Chartered's custody services for digital assets while creating a separate infrastructure platform designed for institutional market participants.
As part of the restructuring, Zodia Solutions will emerge as a separate company operating under SC Ventures, with financial backing from multiple banking partners, including those who currently hold stakes in Zodia Custody. The new entity will deliver "bank-grade infrastructure" to financial services companies, such as Standard Chartered, as they build out their digital asset capabilities.
The origins of Zodia Custody trace back to 2020, when it was created through a partnership between Standard Chartered and Northern Trust to serve as a regulated custody solution for crypto assets aimed at institutional market participants.
According to the bank's statement, the deal is expected to "drive value by unlocking revenue and cost synergies" while providing a more robust set of services to institutional clients seeking digital asset custody solutions around the world.
According to Margaret Harwood-Jones, global head of financing and securities services at Standard Chartered, the acquisition will help expedite the expansion of Standard Chartered's worldwide digital asset custody business, as stated in the official announcement.
Both organizations emphasized that current custody customers should not experience any service interruptions due to the transaction, with all existing services continuing without disruption.
When contacted for additional information, a Standard Chartered spokesperson chose not to provide further commentary.
Broader bank push into digital asset custody
Earlier this year in April, Bloomberg published a report suggesting that Standard Chartered was exploring options to incorporate certain aspects of Zodia Custody into its internal operations by integrating the custody arm into a current business unit, while allowing Zodia to continue functioning as a software-as-a-service provider.
Monday's official announcement validates that approach as part of a wider industry movement where leading banks are pursuing trust bank licenses and additional regulatory frameworks that would enable them to provide crypto custody services directly to their client base.
BNY Mellon represents one such example, having introduced its Digital Asset Custody platform in the US back in 2022, which gave select institutional clients the ability to custody and move Bitcoin (BTC) and Ether (ETH) alongside conventional asset classes through a unified platform.
More recently, in February 2026, Morgan Stanley submitted an application for a US de novo national trust bank charter. If approved, the charter would provide the institution with the regulatory authority to offer custody services for specific digital assets to its clients within a bank-regulated environment.