Standard Chartered's Zodia Custody launches digital asset custody platform SAF3 in Australia

Standard Chartered's subsidiary Zodia Custody announced the launch of the digital asset custody platform SAF3 for institutional clients in Australia.

Zodia Joint Venture by Standard Chartered, Northern Trust, and SBI

Zodia Custody, a subsidiary of Standard Chartered Bank in the UK, operates mainly in emerging markets such as Asia, Africa, and the Middle East. In 2021, Standard Chartered Bank partnered with Northern Trust, headquartered in Chicago, to establish Zodia Custody, a company that provides custody services for cryptocurrencies to large institutions. SBI, a Japanese bank, through its crypto division SBI Digital Asset Holdings, also holds a stake in the venture. As part of the deal, SBI has agreed to offer custody services in Japan.

Zodia is licensed by the Financial Conduct Authority (FCA) in the UK, the Central Bank of Ireland (CBI), and the Commission de Surveillance du Secteur Financier (CSSF) in Luxembourg. In early September, it received provisional regulatory approval in Abu Dhabi and announced plans to expand its operations in Singapore, positioning Zodia as the first company to provide cryptocurrency custody services to financial institutions in Singapore in collaboration with banks.

Digital Asset Custody Platform SAF3

Zodia Custody Australia, a newly established subsidiary in Australia, introduced the real-time digital asset custody platform SAF3 designed for institutional clients in Australia and New Zealand, offering the following services:

• Secure funds through instant-access bank-grade cold wallet storage
• Enhance assets by connecting to exchanges via a single portal for various digital asset trading functions
• Protect enterprises and their clients through enhanced fraud and scam detection capabilities

Zodia Custody estimates that 26% of Australians currently hold digital assets, with a total of approximately $21.6 billion in digital assets held through cryptocurrency exchanges and custody solutions.

CEO Julian Sawyer emphasized:

The technology and risk management infrastructure within the SAF3 platform have been built from the ground up by a regulated bank - its parent company Standard Chartered Bank, with a responsible bank-grade infrastructure.

NAB and DigitalX Collaborations

Australia's largest commercial bank, NAB, conducted a proof-of-concept collaboration with Zodia Custody to test the bank-grade credentials of the SAF3 platform.

The first client onboarded is DigitalX, a publicly listed company on the Australian Securities Exchange, providing qualified Australian investors with access to digital assets through traditional, regulated, and familiar fund structures. DigitalX's funds include the DigitalX Asset Reference Token Fund DxART, DigitalX Bitcoin Fund, and DigitalX Digital Asset Fund, which invest in real-world assets in tokenized form, currently including diversified residential properties.

CEO of DigitalX, Lisa Wade, stated:

As the first listed blockchain technology company, we have always focused on innovation and development within the ecosystem to ensure that we can provide the most secure multi-wallet experience for our clients. Through Zodia Custody, SAF3 will further help us achieve this goal and ensure bank-grade security for our clients.