{"id":172129,"date":"2024-09-24T18:11:36","date_gmt":"2024-09-24T18:11:36","guid":{"rendered":"https:\/\/crypto-economy.com\/?p=172129"},"modified":"2024-09-24T18:11:40","modified_gmt":"2024-09-24T18:11:40","slug":"bny-mellon-expands-crypto-services-with-new-custody-offering-for-bitcoin-and-ethereum-etfs","status":"publish","type":"post","link":"https:\/\/crypto-economy.com\/bny-mellon-expands-crypto-services-with-new-custody-offering-for-bitcoin-and-ethereum-etfs\/","title":{"rendered":"BNY Mellon Expands Crypto Services with New Custody Offering for Bitcoin and Ethereum ETFs"},"content":{"rendered":"
TL;DR<\/p>\n
Bank of New York Mellon (BNY)<\/strong> is preparing to offer<\/a> custody services for cryptocurrencies<\/strong>, specifically Bitcoin and Ethereum<\/strong><\/a>, to clients of exchange-traded products (ETP).<\/p>\n The decision follows a review that allowed the institution to avoid recognizing these assets as liabilities on its balance sheet<\/strong>, a fundamental change that could facilitate its entry into the crypto custody market. The review was conducted by the Office of the Chief Accountant at the Securities and Exchange Commission (SEC), which supported BNY’s plans.<\/p>\n However, BNY has highlighted that the SEC’s SAB 121 rule<\/strong>, which establishes accounting requirements for cryptocurrencies, continues to limit banks’ ability to offer these services<\/strong>. This has been an obstacle for many financial institutions seeking to expand their offerings in the digital asset market. The banking institution has expressed its intention to continue collaborating with regulators to explore more custody applications for crypto assets.<\/strong><\/p>\n