Zodia Custody, the institution-first digital assets platform backed by Standard Chartered, Northern Trust, SBI Holdings, National Australia Bank, and Emirates NBD, announced the launch of Zodia Rewards, an opt-in token rewards programme for institutional clients.
The institutional stablecoin market is booming, with $5 trillion in transaction value last year alone. However, most custody models and fees unintentionally penalise clients for holding balances in stablecoins. Zodia Rewards addresses these challenges by offering its clients the opportunity to maximise the potential value of their eligible assets through:
- Waived custody fees: On eligible stablecoins and other tokens.
- Discretionary rewards: Clients gain access to monthly discretionary rewards of up to 500+ bps; Rewards are tiered by the amount of assets held with Zodia Custody, and an average monthly minimum balance of assets is required.
- Collateral utility: Eligible tokens* held through Zodia Rewards can also be used as collateral on Zodia Custody’s off-venue settlement solution, Interchange and for borrowing with selected network partners, while still being eligible for discretionary rewards; Interchange custody fees are also waived for eligible tokens included in the rewards programme.
“Stablecoins are being adopted far beyond crypto capital markets, emerging as a tool to complement traditional financial rails for cross-border payments. We see this value, and as a custodian, we want to play our part to help unlock further capital efficiencies said Anoosh Arevshatian, Chief Product Officer at Zodia Custody. “We believe that in addition to their use in cross-border payments, there are further use cases for stablecoins as a means of collateral for borrowing and trading purposes, as well as for treasury operations. Our new Zodia Rewards programme directly enables this by removing the barriers – waiving custody fees on eligible tokens and incentivising clients to utilise them as intended: moving, holding, and deploying capital at scale. We’re creating a robust flywheel of use cases with an incentive structure that empowers institutions to manage liquidity more efficiently, all while maintaining a high level of security.”
Zodia Rewards signifies a pivotal shift in institutional digital asset custody, moving beyond passive storage to an active model, unlocking value for clients. By aligning incentives with the needs of institutional clients, Zodia Custody continues to lead in delivering secure and capital-efficient digital asset solutions on a global scale.
At launch, Zodia Rewards will support Circle’s USDC, Ethena’s USDe and USDtb, and the Global Dollar Network’s USDG. The rewards will be paid out to Zodia Custody’s clients’ wallets in the native token they are holding. Clients who subscribe before 30 September will unlock enhanced rewards for the initial three-month launch window, after which standard reward tiers apply.