The US banking giant bank, New York Mellon Corporation (BNY Mellon) is planning to offer crypto custody services, including Bitcoin (BTC).
The Very First US Bank to Safeguard Crypto Assets
Prior to offering crypto investment services to their clients, BNY Mellon CFO Emily Portney urged mainstream financial institutions to obtain clarity regarding what SEC regulations allow.
Now, BNY Mellon is the first major US bank to offer crypto asset protection alongside traditional investments, according to the Wall Street Journal.
BNY Mellon’s president and chief executive, Robin Vince said “We are excited to help drive the financial industry forward.”
We are reimagining financial markets through blockchain & digital assets. Select U.S. institutional clients can now view traditional & digital assets on one platform. Secure and resilient, Digital Asset Custody—a milestone in our innovation journey. https://t.co/DsdUboOPWj pic.twitter.com/r0vvqoVfqT
— BNY Mellon (@BNYMellon) October 11, 2022
Incorporating Traditional and Crypto Assets in One Platform
It is the first of the eight systemically important US banks to store cryptos and provide customers with a single platform for storing traditional and crypto assets.
“We are reimagining financial markets through blockchain & digital assets. Select U.S. institutional clients can now view traditional & digital assets on one platform. Secure and resilient, Digital Asset Custody—a milestone in our innovation journey,” tweeted BNY Mellon.
BNY Mellon will hold their clients’ crypto keys and provide the same bookkeeping services for crypto as it does for stocks, bonds, and commodities, according to the report.
For traditional banks, this marks a milestone in their acceptance of digital assets as legitimate markets and sources of new revenue.
Although many Wall Street executives are still skeptical about crypto’s potential and intend to tread lightly until Washington clarifies how it will be regulated, firms have responded to calls from large investment firms to take on the role of intermediaries.
“ Damn…that headline could warm the darkest of hearts. Put a smile on my face,” said one Twitter user.
Damn…that headline could warm the darkest of hearts. Put a smile on my face.
— Frogpond21 (@frogpond21) October 11, 2022
Another Twitter user also commented on BNY Mellon’s post, “It’s for “them”. Everyone should breathe and be happy we get to have a piece of the game, for now.”