UK bank Standard Chartered announced on October 21 that it had signed definitive agreements to acquire 100% of digital asset custodian Zodia Custody. The non-binding proposal accepted by shareholders and bondholders in May has advanced to a definitive agreement. Completion remains subject to regulatory approvals and customary closing conditions.
Zodia is an institutional custodian backed by Standard Chartered's venture arm, SC Ventures. Digital asset custody involves safeguarding customers' digital assets and managing withdrawals and transfers on their instructions. After the transaction closes, Zodia's custody business will be integrated with the existing digital asset custody operations of Standard Chartered's Securities Services division. The bank said its goal is to offer institutional clients combined securities services for traditional and digital assets.
The software and professional services businesses will be separated into a new company, Zodia Solutions, to be established under SC Ventures. It is expected to provide technology for operating digital asset services to financial institutions, including Standard Chartered.
The company said existing Zodia clients will continue to receive custody services as they do today and that no service disruption is expected as a result of the transaction. The announcement did not disclose the acquisition price or an expected closing date.