Standard Chartered Zodia Integrates Ripple-Owned Metaco’s Crypto Safekeeping

Last updated: December 19, 2023 05:48 EST
. 1 min read

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Standard Chartered Bank-backed digital assets custodian Zodia Custody, has integrated Metaco network’s global crypto storage services.

The strategic partnership is aimed at offering global sub-custody services for cryptocurrencies. This means that Metaco would store client’s funds and provide means to manage them including initiating transfers via web interface.

Zodia’s partnership aims to expand its services and reach a wider audience by providing safekeeping and settlement of digital assets. Zodia Custody CEO Julian Sawyer said Monday that the service gradually evolves to resemble how assets are stored in traditional finance.

“I think of this as the third generation of crypto custody, where multiple custodians are linked together,” he told CoinDesk. Sawyer further stressed that different types of networks are important in terms of linking custodians together in a compliant manner.

The integration comes a month after Zodia Custody expanded its services in Hong Kong in response to institutional demand. In recent months, the company has already extended its services to Japan, Singapore, and Australia, proving its presence in the institutional crypto custody space.

Digital Asset Custody Evolution

Particularly after the FTX collapse last year, the crypto industry has been battling with a major lack of trust and transparency.

Zhu Kuang Lee, chief digital, data and innovation officer at HSBC said last month that there has been an “increasing demand for custody and fund administration of digital assets from asset managers and asset owners, as this market continues to evolve.”

HSBC announced in November, its plans to launch a custody service for storing blockchain-based assets excluding cryptocurrency in 2024. The financial services giant has also planned its partnership with Metaco to carry out the services.

Swiss-based firm Metaco leverages Ripple’s (XRP) scale and market strength to reach to clients at a faster pace. Ripple acquired Metaco early this year in a first major acquisition for $250 million.