Standard Chartered is reportedly planning a significant restructuring of its majority-owned crypto custodian, Zodia Custody. According to Bloomberg, the UK-based lender is weighing folding Zodia's crypto custody business into a division within its corporate and investment bank that already offers similar services. The plan could be announced as soon as this month.
The move is part of a broader trend where large, regulated banks are bringing digital asset infrastructure in-house. While integrating the core custody business, Standard Chartered is also considering allowing Zodia to continue operating as a standalone Software-as-a-Service (SaaS) platform for digital asset custody services.
It remains unclear whether Standard Chartered has opened negotiations with Zodia's minority shareholders, which include Northern Trust, Emirates NBD, National Australia Bank, and SBI Holdings. Emirates NBD and Northern Trust declined to comment on the reports, while SBI Holdings and NAB did not immediately respond.
Standard Chartered has been rapidly expanding its digital asset footprint. It launched its own digital asset custody services from Luxembourg in January 2025 and introduced institutional crypto trading for spot Bitcoin and Ether in the summer of 2025, positioning itself as an early mover among global banks.
This development mirrors actions by other major financial institutions. In February, Morgan Stanley applied for a U.S. trust bank charter to custody digital assets. Earlier, in October 2022, BNY Mellon launched a Digital Asset Custody platform in the U.S., allowing clients to hold Bitcoin and Ether alongside traditional assets. The sector is becoming increasingly competitive, with firms like State Street also expanding their presence.
Zodia Custody, originally established in 2020 as a joint venture between Standard Chartered and Northern Trust, has grown significantly. It employs around 150 people across seven offices globally and raised $18.5 million in a Series A round in July 2025 to expand its stablecoin payment services.