Standard Chartered has entered into definitive agreements to acquire 100 per cent of Zodia Custody UK Limited, a transaction that will bring the regulated digital asset custodian fully under the ownership of the global bank and extend its range of institutional crypto services. The deal remains subject to regulatory approvals and customary closing conditions.

Standard Chartered Takes Full Control of Zodia Custody

Under the agreement, Standard Chartered I H Limited will purchase the entirety of Zodia's regulated operating businesses held within Zodia Custody UK Limited, according to the official announcement. These businesses currently serve institutional clients across five key markets: Singapore, Hong Kong, Australia, the United Arab Emirates and Luxembourg.

With 100 per cent ownership, the custodian's regulated entities will sit inside the bank's own corporate structure rather than as an externally held business. That distinction carries weight because regulated custody is often the first requirement institutions encounter when bringing digital assets under formal mandates. The timeline for completion now hinges on regulatory sign-off, making the approvals process the milestone to watch before any consolidation takes effect.

Upon closing, the five regulated Zodia crypto custody businesses will be consolidated into the Securities Services segment of Standard Chartered, with the regulated digital asset custody operations fully amalgamated into the bank's existing securities services operations. According to the bank, the move is designed to streamline its crypto-asset custody operations and provide a more cohesive offering to institutional customers spanning both traditional securities and crypto assets.

Zodia Custody CEO Richard Clark said that the insurance of digital assets is propelling custody into the traditional banking system. The integration of Zodia's expertise and systems with Standard Chartered's global banking network is expected to deepen regulated custody services for institutional clients. All current Zodia Custody customers will continue to receive services throughout the transaction without interruption.

Zodia Solutions to Separate From the Custody Business

The custody integration will not include Zodia's software and professional services division. Instead, those assets will be transferred to a newly created independent company called Zodia Solutions, formed under SC Ventures.

Zodia Solutions will focus on providing bank-grade digital asset technology to financial institutions seeking to launch and scale crypto-related services. The entity will be supported by a group of banking and investment partners comprising NAB Ventures, Northern Trust, SBI Ventures Asset, Emirates NBD, Investcorp-related entities and others. Standard Chartered will remain one of the institutions utilizing the technology.

The split keeps the technology offering separate from the regulated custody operations, meaning institutions can adopt the infrastructure without becoming custody clients of Standard Chartered itself.

Zodia Custody Joins a Global Banking Platform

The transaction gives Standard Chartered direct control of a crypto custody service that operates in regulated markets across several of the world's major financial hubs. The five jurisdictions span Asia-Pacific, the Middle East and Europe, giving the bank regulated digital asset safekeeping across multiple regions rather than a single-market operation.

Standard Chartered Expands Its Institutional Crypto Stack

The acquisition dovetails with Standard Chartered's expanding list of digital asset services, which already includes custody. The bank aims to integrate digital assets into its broader securities platform, providing institutional clients with access to digital assets through a platform connected to a recognized global bank.

The move follows other digital asset initiatives by the bank, including the launch of Bitcoin and Ether spot trading for institutions in the United Arab Emirates and a three-way institutional custody program bringing RLUSD custody to the XRP Ledger (XRPL).

The decision also signals a broader trend across the financial sector, as institutions move beyond small-scale pilots and build out crypto custody and infrastructure services at scale. With closing now dependent on regulatory approvals, the next signals to watch are the outcome of those reviews and how the five-market custody network is folded into the Securities Services segment once conditions are met.

For Standard Chartered, full ownership of Zodia Custody provides direct oversight of a regulated digital asset custody network, while Zodia Solutions continues to operate as a separate technology provider for banks entering the crypto market.