Bank of New York Mellon Corporation announces plans to support Bitcoin (BTC) and other crypto assets through its new enterprise Digital Assets unit.
In a press release, America’s oldest bank says the team is now working on the prototype platform that allows digital assets to pass through the same network that managers use for traditional holdings such as government bonds and stocks.
BNY Mellon CEO of Asset Servicing and Head of Digital, Roman Regelman, says the bank is committed to providing a secure infrastructure for the transfer, holding and issuing of digital assets as they become mainstream. He added that the bank expects to offer the service later this year, subject to evaluations and approvals.
“The growing customer demand for digital assets, the maturity of advanced solutions and improving regulatory clarity provide us with a great opportunity to expand our current service offering into this emerging area.”
Wall Street banks have previously raised concerns about potential regulatory issues with crypto, but the rising market cap of the crypto sector is prompting asset managers, hedge funds and institutional investors to jump into the market.
Other big financial firms like Fidelity Investments have already jumped into the crypto sector, but Regelman says BNY Mellon is the first global bank to unveil a plan to offer an integrated service for digital assets and traditional finance.
As of December 31, 2020, BNY Mellon had $ 41.1 trillion in assets under custody and / or administration and $ 2.2 trillion in assets under management.
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