Zodia Custody, supported by institutions like Standard Chartered and Northern Trust, has introduced Zodia Rewards, a token rewards program tailored for institutional clients.

As a digital assets platform, Zodia Custody provides custody, treasury, and settlement solutions to help institutional investors leverage the potential of digital assets safely. It is registered with various regulatory bodies, including the Financial Conduct Authority among others.

A secure digital assets platform

The institutional stablecoin market is forecasted to reach a transaction value of USD 5 trillion by 2024, as per estimates. However, many custody models and fees can be disadvantageous for clients who keep balances in stablecoins. Zodia Rewards aims to address these challenges by allowing clients to maximize the value of their eligible assets through:

• Waived custody fees: applicable to certain stablecoins and other tokens;
• Discretionary rewards: offering monthly bonuses of over 500 basis points, tiered based on asset holdings with Zodia Custody, requiring a minimum average balance each month;
• Collateral utility: eligible tokens held through the program can be used as collateral for Zodia Custody’s off-venue settlement solution, Interchange, and for borrowing from select network partners, while still qualifying for discretionary rewards. Additionally, Interchange custody fees are waived for these tokens.

According to officials at Zodia, the program is designed to encourage clients to use their eligible tokens efficiently by moving, holding, and deploying capital on a large scale. The company plans to build an incentive structure that supports institutions in managing liquidity while maintaining high security standards.

Zodia rewards program

Upon launch, Zodia Rewards will include several supported tokens such as USDC from Circle, USDe from Ethena, USDtb, and the Global Dollar Network’s USDG. Clients who register before a specified date will receive enhanced reward tiers during an initial three-month period, after which standard rewards will be in effect.