BNY Launches Blockchain-Based Transfer Agency Platform
Bank of New York Mellon (BNY) is expanding its digital asset services by launching a blockchain-based transfer agency platform. This move follows the bank's earlier support for Bitcoin (BTC), Ethereum (ETH), and USDC custody.
The new platform will enable fund transactions and maintain shareholder records on-chain, creating a shared ownership ledger for tokenized funds. BNY is not replacing its traditional systems but adding new rails for tokenized funds and blockchain-based ownership records.
According to Carolyn Weinberg, BNY's Chief Product and Innovation Officer, the bank is modernizing fund transactions by bringing 'the books and records on-chain.' The platform will give asset managers a digital record of ownership for tokenized products.
The rollout starts with major clients, including Baillie Gifford, which will use the platform for a fully native U.K.-regulated tokenized fund. BNY's Dreyfus division and BlackRock are also expected to use the same infrastructure for planned tokenized products.