Zodia Custody's Interchange Network Integrates BitMEX

Zodia Custody's Interchange network has welcomed BitMEX, marking a significant development in the institutional crypto market. This integration enables clients to trade on BitMEX while keeping their assets in segregated cold storage, reducing counterparty risk.

The move is seen as a response to recent high-profile custody failures and exploits, including the FTX-Alameda judgment and the Bybit cold-wallet exploit. These incidents highlighted the importance of separating custody and execution functions, which Interchange achieves by keeping assets outside of exchange wallets until settlement.

With BitMEX on board, Zodia Custody is quietly building a meta-network that turns exchanges into execution venues rather than custodians. This could potentially lead to a clearing layer for institutional crypto, regulated across multiple jurisdictions.