BNY Launches Blockchain System for Tokenized Funds

BNY will begin keeping fund ownership records on blockchain as Wall Street pushes deeper into tokenized assets.

BNY, the biggest bank for asset custody services in the world, is to develop a blockchain-powered variation of the company that will document who holds shares in investment funds, the Financial Times has learned.

The bank’s transfer agency division maintains ownership records across roughly $8.6 trillion in assets and 7.6 million accounts.

BNY will keep its traditional system running alongside the new digital service rather than moving the entire business onto blockchain at once, per the report.