Standard Chartered Eyes Zodia Custody Merger for Digital Asset Expansion

London-based Standard Chartered is exploring a potential merger of its crypto custodian, Zodia Custody, with its corporate and investment banking division. If successful, this move would enable the bank to strengthen its position in the rapidly growing digital asset market.

Zodia Custody was established in 2020 as a joint venture between Standard Chartered and Northern Trust, offering top-tier crypto custody services to institutional clients such as asset managers and hedge funds. The company has since expanded its operations, with seven offices across major hubs like London and Singapore.

The integration of Zodia Custody into the corporate and investment banking division would allow Standard Chartered to increase its revenue through higher-margin custody offerings. This move is seen as a strategic step in the bank's efforts to blur the lines between traditional finance and crypto, a trend that has gained momentum in recent years.