Standard Chartered, a leading global financial institution, has announced a significant milestone in its expansion into digital asset services. The bank‘s digital asset custody arm, Zodia Custody, has secured a regulatory license in Luxembourg, granting it the authority to provide digital asset custody services across the European Union.
The license comes amid growing demand for institutional-grade digital asset custody solutions, particularly as regulatory frameworks for cryptocurrencies and blockchain-based assets mature in the region. With this move, Standard Chartered positions itself as a frontrunner in offering secure and compliant digital asset custody solutions to institutional clients in the EU.
In a statement, Alex Manson, Head of SC Ventures at Standard Chartered, expressed optimism about the development:
“Securing the Luxembourg license is a testament to our commitment to innovation and meeting the evolving needs of our clients. We believe the EU market is pivotal in the global adoption of digital assets, and this license enables us to deliver secure, regulated solutions at scale.”
Zodia Custody, launched in 2020, is a joint venture between Standard Chartered and Northern Trust. It specializes in providing secure custody for cryptocurrencies and other digital assets, catering to institutional investors who require robust risk management and compliance measures.
The Luxembourg license leverages the nation’s reputation as a financial hub and its proactive stance on digital asset regulation. This approval also enables Zodia Custody to operate under the European Union’s Markets in Crypto-Assets (MiCA) regulatory framework, ensuring full compliance with the bloc’s stringent requirements.
This strategic move aligns with Standard Chartered’s broader focus on innovation in blockchain and digital assets, further solidifying its role as a key player in the financial sector’s digital transformation.
As the EU continues to refine its regulatory landscape for digital assets, the approval underscores the growing recognition of institutional custody providers as essential infrastructure for the rapidly evolving cryptocurrency market.
