Standard Chartered Seeks $50 Million Investment for Crypto Custody Services
Standard Chartered’s crypto custody business, Zodia Custody, is in discussions to raise $50 million for expansion into new markets, with CEO Julian Sawyer stating the firm will seek investment from angel investors and payment companies rather than traditional financial institutions.
Architect Partners, a crypto-focused advisory firm, is assisting Zodia in securing this funding. Previously, Zodia raised $36 million in a Series A funding round led by SBI Holdings. As competition intensifies in the crypto custody industry. Both traditional banks like BNY Mellon and Citigroup and established crypto firms like Komainu are entering the market.
This surge in demand for secure custody solutions is fueled by institutional investors seeking to navigate the perceived risks of cryptocurrencies. Especially in light of rising cyberattacks. However, challenges such as service fees and regulatory uncertainty may hinder the growth of custody businesses despite their increasing importance in the digital asset ecosystem.
Clever Robot News Desk 6th November 2024
