Expanding the Digital Asset Landscape! BNY Mellon to Launch Cryptocurrency Staking Services

BNY Mellon announced on Tuesday that it has partnered with cryptocurrency financial services company Galaxy to add cryptocurrency staking functionality to its digital asset custody platform, further expanding its institutional-grade digital asset services.

Institutional Clients Can Stake Directly on the Custody Platform

Once regulatory approval is obtained, this new service will allow institutional clients to stake their digital assets held in custody directly through BNY's platform.

Galaxy will provide the staking infrastructure and serve as a design partner for BNY's blockchain products, assisting the bank in its ongoing expansion of blockchain financial services.

For institutional investors with substantial capital, earning staking rewards in the past often required transferring tokens to third-party service providers, adding cumbersome processes and cybersecurity risks. Now, being able to stake directly on the BNY platform where assets are already held not only significantly enhances capital efficiency but also addresses the compliance and security concerns that Wall Street giants prioritize.

BNY Continues to Deepen Blockchain Initiatives

Since launching cryptocurrency custody services in 2022, BNY has never ceased its business development in the digital asset space. As one of the oldest and largest custodial banks in the world, BNY manages assets totaling tens of trillions of dollars. Therefore, any move by this bank regarding blockchain infrastructure attracts significant attention from Wall Street and financial markets.

In addition to introducing cryptocurrency staking services, BNY recently announced plans to migrate its "transfer agency" business to blockchain, establishing a single on-chain ownership ledger to reduce reliance on multiple intermediary institutions and enhance transaction efficiency and data consistency.

Plans to Offer 24/7 U.S. Treasury Settlement by 2027

BNY also revealed its future digital asset development roadmap, aiming to launch 24/7 U.S. Treasury settlement services by 2027, covering both traditional and tokenized U.S. Treasuries.

Moreover, BNY plans to test tokenized U.S. Treasuries in a private blockchain environment by the end of this year, paving the way for larger-scale blockchain financial infrastructure in the future.

This collaboration with Galaxy to launch staking services reflects the ongoing acceleration of traditional financial institutions integrating blockchain technology and gradually incorporating cryptocurrency asset services into existing financial infrastructures, further bridging the gap between traditional finance and the digital asset market.

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