Standard Chartered Zodia Partners with Metaco for Crypto Storage
Standard Chartered Bank-backed digital assets custodian, Zodia Custody, has teamed up with Metaco network to provide global crypto storage services. The strategic partnership aims to offer sub-custody services for cryptocurrencies on a global scale. This means that Metaco will store client funds and provide tools for managing them, including initiating transfers through a web interface.
Zodia’s goal is to expand its services and reach a broader audience by offering secure storage and settlement of digital assets. CEO Julian Sawyer stated that this partnership represents the third generation of crypto custody, where multiple custodians are interconnected. He emphasized the importance of different networks in linking custodians in a compliant manner.
This integration follows Zodia Custody’s recent expansion into Hong Kong to meet institutional demand. The company has also extended its services to Japan, Singapore, and Australia, solidifying its presence in the institutional crypto custody space.
Digital Asset Custody Evolution
The crypto industry has faced challenges in trust and transparency, particularly after the FTX collapse. HSBC’s chief digital, data, and innovation officer, Zhu Kuang Lee, highlighted the increasing demand for custody and fund administration of digital assets from asset managers and owners.
In line with this trend, HSBC plans to launch a custody service for blockchain-based assets (excluding cryptocurrencies) in 2024. The financial services giant has partnered with Metaco to carry out these services.
Swiss-based firm Metaco leverages Ripple’s scale and market strength to reach clients more efficiently. Ripple acquired Metaco earlier this year for $250 million in its first major acquisition.
Hot Take: Standard Chartered Zodia Enhances Crypto Storage Services
Standard Chartered Zodia’s partnership with Metaco is a significant development in the crypto custody space. By integrating Metaco’s global crypto storage services, Zodia aims to provide secure and compliant sub-custody solutions for digital assets on a global scale. This collaboration represents a new generation of crypto custody, where multiple custodians are interconnected through different networks.
Zodia’s expansion into Hong Kong and other countries demonstrates its commitment to meeting institutional demand for reliable crypto storage. The partnership between HSBC and Metaco further emphasizes the growing interest in digital asset custody among traditional financial institutions.
With this integration, Zodia Custody strengthens its position as a leading player in the institutional crypto custody market, offering enhanced services and expanding its reach to a wider audience.
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