BNY, world's largest custody bank, expands crypto services in Abu Dhabi
The Bank of New York Mellon (BNY), the world's largest custody bank with $48.8 trillion in assets under custody and administration, has announced the expansion of its cryptocurrency services in Abu Dhabi. The move positions the UAE capital as a key hub for the bank's digital asset operations in the Middle East region.
BNY has been steadily building its cryptocurrency infrastructure since 2021, when it first announced plans to offer digital asset custody services to institutional clients. The bank received regulatory approval from the Abu Dhabi Global Market (ADGM) to provide crypto custody and administration services, making it one of the first major traditional financial institutions to secure such authorization in the emirate. The expansion comes as part of Abu Dhabi's broader strategy to establish itself as a global digital asset center.
The development signals growing institutional adoption of cryptocurrency services among traditional financial giants. Major custody banks entering the crypto space provides additional legitimacy and infrastructure for institutional investors seeking exposure to digital assets. BNY's move could encourage other large financial institutions to accelerate their own crypto service offerings, particularly in regulatory-friendly jurisdictions like the UAE.
Industry observers will be watching how quickly BNY can onboard institutional clients in the region and whether other major custody banks follow suit with similar Middle Eastern expansions.
Source: CoinDesk
