Standard Chartered has signed definitive agreements to acquire 100 percent of Zodia Custody UK Limited, a transaction that will bring the regulated digital asset custodian entirely under the ownership of the global bank and expand the 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 acquire 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 in five key markets: Singapore, Hong Kong, Australia, the United Arab Emirates and Luxembourg.

With 100 percent ownership, the custodian's regulated entities will become part of the bank's own corporate structure, instead of being held as an external business. That distinction carries weight, because regulated custody is often the first requirement institutions encounter when bringing digital assets under formal mandates. The completion timeline now depends on regulatory approval, making the approvals process the milestone to watch before any consolidation takes effect.

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

Zodia Custody CEO Richard Clark said that the insurance of digital assets is propelling custody towards 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 uninterrupted during the transaction.

Zodia Solutions to Split Off From the Custody Business

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

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

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

Standard Chartered Expands Its Institutional Crypto Stack

The acquisition fits in with Standard Chartered's growing list of digital asset services, which already includes custody. The bank aims to integrate digital assets into its broader securities platform, giving institutional clients 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 within the financial sector, as institutions move beyond small-scale pilots and build crypto custody and infrastructure services at scale. Now that completion depends on regulatory approvals, the next signals to watch are the outcome of those reviews and how the five-market custody network is incorporated into the Securities Services segment once the conditions are met.

For Standard Chartered, full ownership of Zodia Custody provides direct oversight of a regulated digital asset custody network, while Zodia Solutions will continue operating as an independent technology provider for banks entering the crypto market.