Zodia Custody, the crypto firm co-owned by British banking giant Standard Chartered, has unveiled a strategic collaboration with Metaco, a crypto custody firm acquired by Ripple.
This partnership is geared towards offering global sub-custody solutions, catering to the escalating demands for the self-custody of digital assets.
Meanwhile, Julian Sawyer, the CEO of Zodia Custody, underscored the significance of joining forces with Metaco. He characterized the sub-custody system as the third generation of crypto custody, emphasizing its interconnected nature involving multiple custodians.
Significance of the Partnership
Notably, this advanced system enables clients from diverse regions to securely store their assets in different locations.
The key advantage lies in leveraging the regulatory permissions of sub-custodians, such as Zodia Custody. Furthermore, the alliance between Zodia Custody and Metaco signifies a strategic response to the evolving landscape of digital asset management.
As the crypto industry matures, the demand for secure and versatile custody solutions has surged. As such, the partnership aims to meet this demand by providing a cutting-edge sub-custody system that enhances security and regulatory compliance.
Likewise, Julian’s recognition of the collaborative venture as the third generation of crypto custody underscores the progressive nature of the sub-custody model. By interconnecting multiple custodians, this approach not only bolsters security but also accommodates clients globally.
However, the ability to securely store assets in different locations aligns with the decentralized ethos of cryptocurrencies, providing users with greater control over their digital holdings.
Could the Partnership Lead to a Rally in XRP’s Price?
While it is challenging to predict short-term price movements in the volatile cryptocurrency market, collaborations with reputable entities can positively influence market sentiments.
If the partnership demonstrates the viability and acceptance of XRP, the native cryptocurrency of the Ripple ecosystem, within institutional-grade custody solutions, it could potentially contribute to increased demand for XRP.
Zodia Custody Expansion to Hong Kong
Recall that in October, the digital asset custodian registered with the Financial Conduct Authority (FCA), launched its services in Hong Kong.
Interestingly, Zodia’s expansion into Hong Kong follows a series of strategic moves across the Asia-Pacific region. In recent months, the company has already opened its services in Japan, Singapore, and Australia.
According to Sawyer, Hong Kong is the final destination on Zodia’s tour of the Asia-Pacific region. Meanwhile, the company is in ongoing discussions with both the Hong Kong Securities and Futures Commission (SFC) and the Hong Kong Monetary Authorities to explore regulatory approval in the financial district.