Zodia Custody partners with Metaco to offer global sub-custody for digital assets
The post Zodia Custody partners with Metaco to offer global sub-custody for digital assets appeared on BitcoinEthereumNews.com.
In a significant development in the world of cryptocurrency custody services, Zodia Custody, an FCA-registered digital asset custodian backed by Standard Chartered, has announced a strategic partnership with Metaco, a crypto custody firm acquired by Ripple. This collaboration aims to provide global sub-custody solutions, addressing the growing demand for self-custody of digital assets. The rise of self-custody amidst challenges in the crypto economy As the cryptocurrency market faces economic challenges and inherent threats, the concept of crypto storage and settlement networks has gained popularity as a means to reduce third-party interference. Recent events, such as the FTX fall and the subsequent crypto winter, have made investors more vigilant about the potential risks associated with cryptocurrencies. Julian Sawyer, CEO of Zodia Custody, highlighted the significance of the partnership with Metaco. He described the sub-custody system as “the third generation of crypto custody,” where multiple custodians are interconnected. This system allows clients from various regions to securely store assets in different locations, leveraging the regulatory permissions of sub-custodians like Zodia Custody. Sawyer explained, “For example, a client in Brazil, who is a custodian, may want to store some assets in the UK, and they’re not currently in the UK. So they could use us as their sub-custodian and use our regulatory permissions, etc. I think the multiple networks that are out there are really key in terms of linking custodians together, and linking custodians to exchanges and venues in a compliant manner.” The evolution of crypto custody systems Zodia Custody’s partnership with Metaco represents a notable advancement in the crypto custody space, but it is not the only system designed to enhance the security of cryptocurrencies. Julian Sawyer mentioned other systems, including the Copper Loom System and self-custody off-exchange systems, that have been introduced to promote the utmost security for digital assets.…
Filed under: News - @ December 4, 2023 2:12 pm