BNY Builds Blockchain Transfer Agency for Tokenized Funds

The Bank of New York Mellon is building a blockchain-based digital transfer agency to handle fund transactions and ownership. The move represents one of the most significant bets by a traditional financial institution on blockchain infrastructure, with over $59 trillion in assets under custody and administration.

The new platform will service tokenized fund units on public blockchains, pairing a digital-native transfer agency with traditional off-chain records. This dual approach enables seamless interaction between tokenized products and conventional financial infrastructure.

BNY has secured day-one client commitments for the service, supporting 7.61 million investor accounts globally and managing $4.17 trillion in sub-accounting assets.