- The acquisition strengthens Zodia’s licensed platform to support institutional investors and financial institutions
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Zodia Custody Acquires UAE-Based Tungsten to Strengthen Its Presence in the Regional Digital Asset Custody Market
Zodia Custody, a leading provider of institutional digital asset custody solutions, has successfully completed the acquisition of UAE-based Tungsten Custody Solutions.
Deal Overview
This strategic move reflects Zodia Custody’s continued efforts to expand its operational footprint across the United Arab Emirates and the broader Middle East and North Africa (MENA) region.
Tungsten Custody Solutions has emerged as a key local player in the digital asset custody space, having quickly built a reputation as a trusted provider of institutional-grade services.
This comes amid growing regional interest in digital assets and related technologies such as blockchain and cryptocurrencies.
Through this acquisition, Zodia gains access to the Financial Services Regulatory Authority (FSRA) license held by Tungsten within the Abu Dhabi Global Market (ADGM)—one of the region’s premier financial centers.
The license will enable Zodia to offer regulated digital asset custody services in full compliance with the UAE’s regulatory frameworks, enhancing its ability to support both regional and international financial institutions and investors through a secure, trusted, and licensed platform.
Zodia Custody also reaffirmed its plans to continue pursuing a Virtual Asset Service Provider (VASP) license from the Dubai Virtual Assets Regulatory Authority (VARA)—the body responsible for overseeing Dubai’s virtual asset sector.
This effort builds on the initial approval previously secured by Tungsten, providing Zodia with a strong starting point to fast-track its full licensing process and operational expansion in the emirate.
Strategic Expansion
The acquisition is part of Zodia Custody’s broader global strategy to expand into jurisdictions with advanced infrastructure and forward-looking regulatory environments that support financial innovation.
Zodia Custody is a joint venture between Standard Chartered Bank and Northern Trust, and is focused on delivering secure, compliant, and institutional-grade digital asset custody solutions that meet the highest regulatory standards.
As part of the transaction, UAE-based venture capital firm Further Ventures, which played a foundational role in the establishment of Tungsten, will join Zodia Custody’s shareholder base.
This move reflects Further Ventures’ ongoing commitment to driving innovation and advancing the digital asset ecosystem across the region.
Executive Commentary
Commenting on the acquisition, Zodia Custody executives emphasized that entering the UAE market marks a pivotal milestone in the company’s strategy to expand into high-growth emerging markets.
The UAE is increasingly recognized as one of the most advanced and innovation-driven jurisdictions in the global digital asset space.
The acquisition is expected to accelerate the adoption of institutional-grade custody services in the region, providing secure and compliant solutions that align with regulatory expectations while also meeting the evolving needs of investors seeking reliable infrastructure to safeguard their digital assets.
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