Standard Chartered-backed Zodia Custody gains funding from Australia’s largest bank

Crypto custodian Zodia Custody has strengthened its position in the institutional digital asset custody sector by securing funding from Australia’s largest bank.

Zodia Custody, an institutional-grade crypto custodian backed by Standard Chartered, has received funding from NAB Ventures, the venture capital arm of National Australia Bank (NAB), one of Australia’s largest financial institutions.

The latest funding means Zodia Custody is now backed by four major financial institutions globally, adding to previous investments from Standard Chartered, Northern Trust and SBI Holdings, a press release seen by Crypto.news said.

NAB Ventures Managing Director Amanda Angelini emphasized that the decision to invest in Zodia Custody was based on “a number of factors, including their innovative approach, enterprise-level security and strong work with regulators.” The size of the fund was not disclosed.

The funding comes after Zodia Custody set up its Australian operations in late 2023 as part of its strategy to expand its presence in the APAC region. Zodia Custody Australia CEO Kate Cooper said NAB’s investment marked “a great validation of our mission and vision”.

“But more than that, this marks a turning point as institutions and infrastructure providers jointly build the mainstream future of digital assets without compromise.”

kate cooper

With the fund, the custodian now plans to focus its efforts in Australia on incorporating domestically produced digital asset exchanges, particularly with regulatory changes expected by 2025. Zodia Custody CEO Julian Sawyer predicts that upcoming regulations will “dramatically change the landscape.” In addition to the changes seen in Hong Kong and Japan, the regulations will likely include “requirements for segregation of assets and their retention in cold storage.”

NAB’s investment in Zodia Custody comes shortly after the bank’s decision to pause stablecoin development due to a lack of current customer demand. A spokesperson for the bank told crypto.news that development was “paused due to lack of current customer demand” but that the financial giant “may reactivate this work” if customer demand arises.