Standard Chartered to fold Zodia Custody’s custody arm

Standard Chartered will fold Zodia Custody's crypto custody business into the bank's custody unit after other Zodia shareholders and noteholders accepted the bank's nonbinding offer, Standard Chartered announced. The transfer covers custody operations only; Zodia Custody will continue to operate its software-as-a-service platform after the transaction closes.

Zodia Custody launched in 2020 as a joint venture between SC Ventures, Standard Chartered's innovation arm, and Northern Trust. Standard Chartered is the majority owner. Zodia raised $36 million in 2023 and entered talks for an additional funding round of about $50 million in late 2024.

Standard Chartered secured a Luxembourg license to provide crypto custody under the EU's Markets in Crypto-Assets (MiCA) rules in January 2025 and later launched a branded custody unit. The bank has operated its own custody infrastructure alongside Zodia's platform.

The bank did not disclose financial terms or a timetable for closing. Zodia's SaaS business will remain separate and continue to offer custody-related software to third parties, while asset-holding and custodial responsibilities will be placed under Standard Chartered's regulated banking structure.

Standard Chartered offered no comment on client migrations, staff transfers or how existing contracts will be handled during the transition.