Australian bank NAB acquires stake in Zodia Custody

Australian bank NAB acquires stake in Zodia CustodyCrypto custodian Zodia Custody has been boosted by an investment from NAB Ventures, the venture capital arm of National Australia Bank (NAB). The asset servicer now has financial backing from four banks following prior investment from Standard Chartered, Northern Trust and SBI Holding. According to NAB Ventures, the decision to acquire a stake in Zodia Custody was based on its “innovative approach, institution-grade safety and strong work with regulators”. It also comes just months after Zodia established its first office in Australia which is headed by Kate Cooper, a banker on secondment from NAB. “As a trusted financial institution, NAB is focused on ensuring the finance sector continues to provide simple, safe and secure services for Australians,” said Amanda Angelini, managing director, NAB Ventures.   “This is particularly important in newer fields where technology continues to evolve quickly.” Zodia Custody has earmarked two priorities following the investment. The first is the onboarding of digital asset exchanges who are joining the Zodia platform to be compliant with new regulatory requirements due to take effect in 2025. The second priority is to promote the platform as the “custodian of choice” for the numerous applicants of digital assets ETFs awaiting approval from the Australian Stock Exchange. “Incoming regulations will significantly change the landscape, similar to what we have seen in Hong Kong and Japan,” said Julian Sawyer, Zodia Custody CEO. “This likely includes the segregation of assets, and requirements to hold them in cold storage — areas we are already way ahead of the curve on, having built our custody model on these principles while ensuring real-time access to move at the speed of the market and the highest levels of security.” No financial details of the transaction were disclosed. © 2024 funds global asia

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