Tuesday, 02 January 2024 12:17 GMT

XBTO And Zodia Custody Partner To Deliver Institutional-Grade Bitcoin Custody And Yield


(MENAFN- GlobeNewsWire - Nasdaq) XBTO and Zodia Custody Partner to Deliver Institutional-Grade Bitcoin Custody and Yield

  • XBTO and Zodia Custody, each with operating entities regulated by the Financial Services Regulatory Authority (FSRA), combine custody and collateral mirroring with yield-generating Bitcoin strategies.
  • The partnership offers banks, corporates, and Bitcoin treasury companies a secure and institutional-grade pathway to custody and earning yield on Bitcoin.
  • Backed by Standard Chartered Ventures, Zodia Custody expands client offering with XBTO's Diamond Hands Bitcoin Separately Managed Account (SMA) strategy.

Abu Dhabi, United Arab Emirates, Oct. 03, 2025 (GLOBE NEWSWIRE) -- – XBTO , a global leader in institutional digital asset management, has partnered with Zodia Custod , the institutional digital asset custodian backed by Standard Chartered Ventures, to bring institutional-grade Bitcoin custody and yield solutions to market.

Through this collaboration, XBTO's Diamond Hands BTC SMA clients will gain access to Zodia Custody's regulated custody and collateral mirroring capabilities. In parallel, Zodia Custody clients will be able to allocate to XBTO's Diamond Hands BTC strategy, giving them the ability to generate yield on their Bitcoin holdings in a fully compliant and secure environment, limiting counterparty risk that institutional clients would take.

The partnership will initially target key financial hubs, where institutional interest in Bitcoin is accelerating as both a reserve asset and a yield-generating instrument. This launch comes at a time when 86% of institutional investors say they have or plan to gain exposure to digital assets in 2025, signaling that regulated, yield-generating strategies are becoming mainstream. This trend is further evidenced by the rise of Bitcoin treasury companies, with the number of publicly traded firms holding BTC on their balance sheet reaching over 125 this year. While many have recently joined, a handful of pioneers have established themselves as the benchmark for this corporate strategy, showcasing the strategic foresight and long-term conviction necessary for successfully integrating digital assets into a traditional corporate framework. These include Strategy in the U.S., which now holds over 636,000 BTC, Japan's Metaplanet, and leading European entities like The Blockchain Group and H100 Group.

Karl Naïm, Group Chief Commercial Officer of XBTO, said: “Institutions want two things from digital assets: security and productivity. With Zodia Custody, clients gain the assurance of a regulated custodian backed by one of the world's leading banks. By combining that with XBTO's proven Diamond Hands BTC strategy, we are turning Bitcoin from a static reserve asset into one that can work for our clients without compromising on safety. This partnership reflects our vision of digital assets becoming a natural extension of institutional balance sheets.”

In a first-of-its-kind collaboration, the two entities have joined forces to offer a comprehensive solution that combines custody with yield-generation, addressing growing institutional demand for regulated, low counterparty-risk Bitcoin strategies. XBTO's Diamond Hands BTC SMA strategy is an options-based strategy designed to generate in-kind yield by harvesting volatility, with a yearly target return of 5–8% p.a. (in BTC terms) and a volatility target of ~4% p.a. The strategy's primary objective is to accumulate more BTC with strong risk control. This regulated offering aims to provide institutional investors with a secure and transparent way to generate returns on their Bitcoin holdings within a robust regulatory framework.

Dominic Longman, Global Head of Markets, Zodia Custody, said: “At Zodia Custody, we believe digital assets must meet the same standards as traditional finance to be trusted by institutions. Partnering with XBTO allows us to extend that principle to yield generation, enabling clients to earn on their Bitcoin in a secure, sustainable, and regulated way.”

This initiative establishes a new benchmark for institutional Bitcoin solutions by uniting regulated custody with yield generation. For banks, corporates, and bitcoin treasury companies, it provides a pathway to hold and grow Bitcoin in a structure that meets the same standards as traditional finance. The firms plan to offer a similar offering on Ethereum, given the rising interest for ETH Treasury from companies.

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About XBTO
From asset management to capital markets, XBTO helps clients capture opportunities in the age of digital assets. Founded in 2015 as a proprietary trading firm, XBTO built its foundation through nearly a decade of active participation in digital asset markets. Since 2023, XBTO has expanded into a full-service crypto quantitative investment firm. With a strong focus on Bitcoin, XBTO delivers risk-adjusted strategies across the alpha–beta continuum designed to perform across market cycles and regulatory environments. With decades of experience earned at the world's leading financial institutions and deep expertise in digital markets, XBTO brings a rare combination of financial discipline and digital-native insight. XBTO operates under robust regulatory oversight, with operating entities regulated by the Bermuda Monetary Authority and the Financial Services Regulatory Authority in Abu Dhabi. It operates from key financial hubs including Bermuda, New York, Miami, London, Paris, and Abu Dhabi.

For further information on XBTO, please visit:

About Zodia Custody
Zodia Custody is an institution-first digital assets platform backed by Standard Chartered, in association with Northern Trust, SBI Holdings, National Australia Bank, and Emirates NBD. Through the combination of its custody, treasury, and settlement solutions, Zodia Custody enables institutional investors around the globe to realise the full potential of the digital assets future – simply, safely, and without compromise. Zodia Custody is registered with the Financial Conduct Authority, Central Bank of Ireland, Commission de Surveillance du Secteur Financier, and holds a licence with the Hong Kong Companies Registry.

Zodia Custody implements the requirements of the 5AMLD and applies the same standards as Standard Chartered relating to AML, FCC, and KYC. It implements the requirements of the FATF Travel Rule. Zodia Custody Limited is registered in the UK with the FCA as a crypto asset business under the Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017. Zodia Custody (Ireland) Limited is registered with the Central Bank of Ireland as a VASP under Criminal Justice (Money Laundering and Terrorist Financing) Act 2010 (as amended). Zodia Custody (Ireland) Limited was established in Ireland in August 2021. Zodia Custody (Ireland) Limited is registered with the CSSF in Luxembourg as a Virtual Asset Service Provider in accordance with article 7-1 (2) of the law dated 12 November 2004 on the fight against money laundering and terrorist financing, as amended. Zodia Custody (Hong Kong) Limited is registered with the Registry for Trust and Company Service Provider with License Number TC009245 under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO), Cap. 615 in respect of its custodial activities in digital assets.

For further information on Zodia Custody, please visit:
Media Contact:
Athraa Bheekoo
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