Standard Chartered-backed Zodia Custody set for fresh round of capital raise

The Standard Chartered-backed digital assets custodian Zodia Custody is in talks for a fresh round of capital raise.
The institutional-grade digital asset custody solution aims to secure about $50 million to enhance its operational capacity, increase its product offerings, and widen its market reach. This funding push comes after it raised $36 million in an earlier round led by SBI Holdings in 2023, reflecting the growing demand for digital asset custody solutions.
The Chief Executive Officer, Julian Sawyer said the company is targeting investors from tokenization and payments industries. The funding campaign is being run in collaboration with the crypto-centric advisory firm Architect Partners.
Earlier this year, in June, Zodia partnered with 21Shares, one of the largest issuers of physically backed exchange-traded products (ETP) in the world. Standard Chartered is a majority shareholder in Zodia Custody, and it is also backed by Northern Trust and National Australia Bank.
Zodia is entering a growing crypto custody market
Zodia, founded in 2020 and headquartered in London, has services in about 15 jurisdictions. It already has offices in Dublin, Luxembourg, Sydney, Singapore, Hong Kong, and Tokyo. According to the ex-CEO, Maxime De Guillebon, the company plans to grow its institutional customer list.
In September 2024, Zodia partnered with Solidus Labs to reduce the rate of financial crime involving digital assets and improve risk identification and mitigation. In October 2024, it began providing custody for the Jacobi Asset Management Bitcoin ETF. In February 2023, it partnered with SBI to establish a custody service in Japan.
A report from Boston Consulting Group projects that by 2030, the crypto custody market could be valued at $16 trillion. According to its CEO’s statement, Zodia wants to take advantage of this opportunity: “We intend to partner with the best in the world to expand our institutional custody offering.”
Traditional financial institutions are also interested in the custody market. In 2022, Citigroup partnered with METACO to develop digital assets custody capabilities. Likewise, America’s oldest bank BNY Mellon, with over $43 trillion worth of assets in custody, launched a custody service for cryptocurrencies.
Crypto custody is a safety and compliance issue
The crypto space is inundated with stories of hacks and scams, which have cumulatively led to a loss of several billions of dollars. A Standard Chartered report says many crypto businesses have weak internal security controls that are ineffective at preventing serious losses.
However, custody services are different for crypto assets. Hadley Stern, the Chief Commercial Officer of the custody tool Marinade Finance, stated that it costs nearly 10 times more to provide custody services for crypto compared to traditional financial assets.
Crypto custody is a standard according to the Investment Advisers Act of 1940 (amended), which requires institutional investors to store customers’ assets with a qualified custodian. A custodian is a security service designed to help institutions, such as exchanges that hold large amounts of cryptocurrencies, protect their customers’ funds. Custodians also help facilitate trading, payments, and settlements.
As regulation and compliance grows, the need for custody services follows. Custody solutions like Coinbase Global, Gemini Custody, and Anchorage Digital are already integral to the operations of institutional investors, and Zodia’s latest funding round may be its attempt to break into the big time.
Crypto Billionaire Mike Novogratz Unveils Bitcoin Post-Election Prediction, Says BTC Can Go ‘A Lot Higher Fast’

Galaxy Digital CEO Mike Novogratz is outlining how he thinks Bitcoin (BTC) will move after the United States votes for a new president.
In a new interview on the Unchained YouTube channel, Novogratz says that Bitcoin will spark a new bull market regardless of who wins the US presidential race.
But he predicts that the Bitcoin bull market will be slightly delayed if Democratic candidate Kamala Harris comes out on top.
“I think on a Trump win, we break $73,000 and go a lot higher fast. On a Harris win, we probably flush down to high $50,000s [to] low $60,000s, bottom and then end up going up pretty quick.”
While the crypto billionaire holds a rosy view on the future of BTC, his outlook on the US fiscal situation is bleak. Novogratz believes that the only way out for the US to pay off its record-high debt is to debase the dollar at the risk of runaway inflation.
“Just so I’m really clear on my macro view, I think the chance of the US getting its act together is really low. I think actually almost the best we can hope for is really gifted people around the table who can run inflation at 4% to 5% but not have it accelerate and slowly inflate away this debt.
And in that case, Bitcoin should still go higher.”
At time of writing, the national debt of the United States stands at $35.866 trillion.
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