Zodia Custody, a London-based institutional-grade digital asset platform, has completed its acquisition of Tungsten Custody Solutions, a regulated custodian based in Abu Dhabi. The move is a strategic step in Zodia’s mission to expand across the Middle East and solidify its presence in one of the world’s most rapidly evolving digital finance hubs.
Backed by global financial giants such as Standard Chartered Ventures, Emirates NBD, Northern Trust, SBI Holdings, and National Australia Bank Ventures, Zodia is accelerating its regional strategy through this acquisition.
A Smart Strategic Fit
Tungsten Custody, known for its strong regulatory foundation in the UAE, will now operate under the Zodia Custody brand. This acquisition transfers Tungsten’s existing regulatory license under the Financial Services Regulatory Authority (FSRA) directly to Zodia.
- ✅ Strengthens Zodia’s regulated footprint in the UAE
- ✅ Enhances capacity to serve institutions with secure digital asset custody
- ✅ Positions Zodia as a key player in a region focused on responsible crypto innovation
This follows Zodia’s previously announced intention to acquire Tungsten in April 2025, which has now officially concluded.
Expanding Regulatory Reach
The acquisition doesn’t just add clients or capabilities, it adds regulatory depth. In addition to the FSRA license, Zodia Custody will now pursue a full Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Asset Regulatory Authority (VARA).
Tungsten had already received an initial approval certificate from VARA, giving Zodia a head start on its licensing journey in Dubai.
- Leverages Tungsten’s regulatory progress with VARA
- Builds momentum for full VASP license acquisition
- Aligns with UAE’s ambition to be a global crypto regulation leader
Strong Support from Abu Dhabi
Tungsten was originally incubated by Further Ventures, a UAE-based VC focused on digital asset innovation. As part of the acquisition deal, Further Ventures will now become a shareholder in Zodia Custody.
- Gains a strategic partner with strong local ties
- Strengthens Zodia’s network across UAE investment circles
- Encourages deeper collaboration with regional stakeholders
“Zodia Custody’s acquisition of Tungsten reflects our long-standing and ongoing commitment to the UAE,” said Dom Longman, Global Head of Markets at Zodia Custody. “We are excited to deepen our presence in a market that is leading the way in digital asset regulation.”
Why This Matters
The acquisition is part of a wider wave of M&A activity in the digital assets sector, especially as firms look to scale quickly, meet regulatory standards, and offer safe infrastructure to institutional clients.
By adding a regulated UAE entity to its portfolio, Zodia Custody is not just expanding its global reach, it’s becoming a central figure in shaping the future of digital finance in the Middle East.