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Standard Chartered To Absorb Zodia Custody’s Client Business, Spin Off Zodia Solutions

The shift signals banks are pulling crypto safekeeping into core units to meet rising demand from regulated investors.

Overview

  • Standard Chartered said Monday its non-binding offer won backing from Zodia shareholders and noteholders, with completion still subject to regulatory approval.
  • The bank plans to place the regulated, client-facing crypto safekeeping inside its Financing and Securities Services division.
  • The integration would give institutions a single bank relationship for holding digital assets, which can simplify onboarding and link custody with trading and tokenized products.
  • Zodia’s technology platform will become a separate SaaS business called Zodia Solutions under SC Ventures, led by CEO Julian Sawyer, while minority investors continue talks over future stakes.
  • The reorg aims to cut overlapping systems and sharpen the bank’s position against BNY Mellon, State Street and crypto-native custodians as demand rises following spot Bitcoin ETFs and clearer rules such as the EU’s MiCA.