header banner

Hong Kong debut for Zodia, a cryptocurrency owned by Standard Chartered

Table of Contents

    Standard Chartered Plc bank branch in Hong Kong

    Bloomberg | Bloomberg | Getty Images

    Zodia Custody, the crypto security firm owned by British banking giant Standard Chartered, is launching its services in Hong Kong, the company told CNBC exclusively.

    It marks the latest push for the U.K.-headquartered firm into the Asia-Pacific region. Founded in 2020, Zodia Custody helps financial institutions store their crypto securely.

    Julian Sawyer, CEO of Zodia, said that Hong Kong was a market where demand for crypto is driven by institutions, rather than retail customers, adding this is the ideal clientele for Zodia.

    "The Hong Kong government and the regulators see digital assets as the future and also want Hong Kong to be a hub," Sawyer said. 

    Zodia has been expanding aggressively in Asia. Indeed, the company opened its services in Japan, Singapore and Australia in recent months. It is part-owned by Standard Chartered, as well as Northern Trust and Japan's SBI Holdings.

    Hong Kong is the last stop on Zodia's tour around the Asia-Pacific region, Sawyer said.

    "What we're seeing is there are absolutely clients in all of those four markets who want to do things," he added.

    "We also see a lot of other clients and prospects outside those four jurisdictions that want to come in on the institutional side."

    Hong Kong has been increasingly warming to crypto assets despite a broader anti-crypto push from China, which banned bitcoin trading and mining in 2021.

    The Hong Kong Securities and Futures Commission (SFC) launched a regulatory regime for digital assets earlier this year, giving companies the ability to apply for registration and offer their services in a regulated way.

    So far, only two firms, OSL Digital and Hash Blockchain, have been handed licenses by the SFC.

    Zodia is embarking on its Hong Kong expansion in a phased approach. At first, it will seek to provide services for Hong Kong clients in a limit set of crypto assets.

    Zodia is also in discussions with both the SFC and Hong Kong Monetary Authority about becoming regulated in the financial district.


    Article information

    Author: Aaron Hernandez

    Last Updated: 1699914722

    Views: 928

    Rating: 4.2 / 5 (119 voted)

    Reviews: 88% of readers found this page helpful

    Author information

    Name: Aaron Hernandez

    Birthday: 1994-09-23

    Address: 7244 Stephanie Shore Suite 423, South Jessica, VA 13643

    Phone: +3871056050459029

    Job: Drone Pilot

    Hobby: Painting, Beekeeping, Astronomy, Snowboarding, Swimming, Billiards, Geocaching

    Introduction: My name is Aaron Hernandez, I am a risk-taking, sincere, honest, forthright, exquisite, resolute, receptive person who loves writing and wants to share my knowledge and understanding with you.