BNY Mellon Live with Digital Assets Custody Platform
Posted by Colin Lambert. Last updated: October 12, 2022
Some 18 months after announcing the formation of a digital assets custody business, BNY Mellon has announced the platform is now live in the US.
The bank says with select clients now able to hold and transfer Bitcoin and Ether, this milestone reinforces its commitment to support client demand for a trusted provider of both traditional and digital asset servicing.
“Touching more than 20% of the world’s investable assets, BNY Mellon has the scale to reimagine financial markets through blockchain technology and digital assets,” says Robin Vince, CEO and president at BNY Mellon. “We are excited to help drive the financial industry forward as we begin the next chapter in our innovation journey.”
The bank points to its recent survey that highlighted “already significant institutional demand for a resilient, scalable financial infrastructure built to accommodate both traditional and digital assets”.
According to the survey, almost all institutional investors (91%) are interested in investing in tokenised products. Additionally, 41% of institutional investors hold cryptocurrency in their portfolio today, with an additional 15% planning to hold digital assets in their portfolios within the next two to five years.
“With digital asset custody, we continue our journey of trust and innovation into the evolving digital assets space, while embracing leading technology and collaborating with fintechs,” says Roman Regelman, CEO of Securities Services & Digital at BNY Mellon.
The platform launch follows previously-announced collaborations with fintechs Fireblocks and Chainalysis to integrate the latters’ technology in order to meet the present and future security and compliance needs of clients across the digital asset space.
“As the world’s largest custodian, BNY Mellon is the natural provider to create a safe and secure digital asset custody platform for institutional clients,” says Caroline Butler, CEO of custody services at BNY Mellon. “We will continue to innovate, embrace new technology and work closely with clients to address their evolving needs.”