Catenaa, Monday, May 25, 2026- Standard Chartered plans to absorb the crypto custody business of its majority-owned subsidiary Zodia Custody into the bank’s own digital asset operations, marking a major consolidation move inside its expanding institutional crypto strategy.
According to Bloomberg, Standard Chartered’s non-binding acquisition offer has already been accepted by other Zodia Custody shareholders and noteholders.
The transaction would fold Zodia’s crypto custody infrastructure directly into the bank’s broader corporate and institutional banking operations while allowing Zodia Custody to continue operating independently as a software-as-a-service platform.
Zodia Custody was launched in 2020 through a joint venture between SC Ventures, Standard Chartered’s innovation division, and Northern Trust.
The platform raised $36 million in funding in 2023 and had reportedly been exploring an additional $50 million fundraising round late last year.
The planned integration follows a broader digital asset expansion strategy Standard Chartered has been building across multiple jurisdictions.
In January 2025, the bank secured a Luxembourg license allowing it to directly offer crypto custody services under Europe’s Markets in Crypto-Assets, or MiCA, regulatory framework.
Later that year, Standard Chartered launched its own branded crypto custody division, creating overlapping infrastructure with Zodia Custody and increasing expectations of eventual consolidation.
The Block previously reported in April that the bank was considering integrating Zodia’s operations with its institutional banking arm.
The move reflects a wider trend among global banks seeking tighter control over digital asset infrastructure as institutional demand for regulated crypto custody services continues growing.
Large financial institutions are increasingly treating crypto custody as part of mainstream banking infrastructure tied to tokenized assets, blockchain settlement systems and institutional digital finance.
