Zodia Custody has announced the launch of Zodia Rewards, a new programme that allows institutional clients to earn returns on eligible token holdings while eliminating custody fees. The opt-in service introduces native token incentives and integrates seamlessly with the firm’s existing settlement and collateral solutions.
Backed by Standard Chartered, Northern Trust, SBI Holdings, National Australia Bank, and Emirates NBD, Zodia Custody is positioning the new programme as a response to mounting interest in stablecoin utility across the institutional landscape. The firm stated that current custody structures discourage stablecoin usage by applying fees to idle balances. Zodia Rewards removes these disincentives.
“Stablecoins are being adopted far beyond crypto capital markets”
Under the new initiative, clients who maintain qualifying balances will receive up to 500 basis points in monthly discretionary rewards. Eligibility is based on the value of assets held and requires a monthly minimum balance. At the same time, Interchange settlement custody fees are waived for supported assets.
Anoosh Arevshatian, Chief Product Officer at Zodia Custody, commented, “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. 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.”
Clients using Zodia Rewards will be able to put eligible tokens to work through collateralisation for off-venue settlement via Zodia’s Interchange network, or through select borrowing opportunities. These use cases will not affect their ability to earn the monthly rewards.
The platform will initially support four assets: Circle’s USDC, Ethena’s USDe, USDtb, and the Global Dollar Network’s USDG. Although USDC is not eligible for collateral usage under the programme, it still qualifies for waived custody fees and reward payouts.
Reward payouts will be distributed directly to clients in the native token held, reinforcing the liquidity and usability of the assets themselves. Those who subscribe to Zodia Rewards before 30 September will benefit from higher introductory rates for the first three months.
Zodia Custody said the programme reflects a shift from passive digital asset storage toward capital-efficient infrastructure. Unlike traditional custody models, which charge for token safekeeping without enabling further utility, Zodia Rewards brings yield-generating features into a regulated, bank-backed environment.
The firm highlighted that all reward allocations remain discretionary. There is no contractual right to receive rewards, and Zodia Custody may amend or withdraw the programme at any time.
Zodia Custody is registered in the UK, Ireland, Luxembourg, and Hong Kong, and adheres to anti-money laundering and compliance standards in each jurisdiction.
