BNY Mellon Blockchain Transfer Agency Aims for $8.6 Trillion Investment Servicing Business

BNY Mellon is introducing a blockchain-enabled transfer agency for its $8.6 trillion investment servicing business, marking a significant step in the adoption of distributed ledger technology by the financial industry.

The new service will bring fund ownership records and transaction data onto a blockchain network, without replacing the traditional transfer-agent infrastructure currently in place.

Already, Baillie Gifford is utilizing this digital transfer agent for its UK-regulated tokenized fund. Meanwhile, BlackRock and BNY's Dreyfus business are expected to use the service for their forthcoming funds.

BNY Mellon oversees an impressive $62.6 trillion in assets under custody and/or administration as of June 30, 2022.