Zodia Custody, a British crypto custodian backed by Standard Chartered and SBI Holdings, has been chosen as the custodian provider for 21Shares' physically backed exchange-traded products (ETPs) in Switzerland. This partnership is in response to a rising demand for ETPs in Switzerland and across Europe.

In a recent blog announcement, Zodia Custody stated it will manage the custody services for these products. Mandy Chiu, head of financial product development at 21Shares, praised the collaboration as a "significant milestone," emphasizing Zodia's robust cold storage and compliance solutions.

21Shares also utilizes custodial services from Coinbase Custody and Copper, another British custodian. The collaboration with Zodia follows closely on the heels of Zodia securing funding from NAB Ventures, the venture capital arm of National Australia Bank. Although the funding amount was not disclosed, Amanda Angelini, managing director of NAB Ventures, highlighted Zodia's innovative approach and regulatory compliance as key investment factors.

Founded in 2020 by Standard Chartered and Northern Trust, Zodia Custody has raised $44 million from five investors, according to PitchBook data. This partnership with 21Shares signifies a strategic move to enhance crypto custody services in Europe.