BNY, the world's largest custody bank overseeing $59 trillion in assets, is expanding its digital asset custody services into the United Arab Emirates through local partnerships.
The bank will collaborate with Finstreet and the ADI Foundation to establish regulatory digital asset infrastructure in Abu Dhabi Global Market, a financial free zone that has become a hub for crypto and blockchain firms entering the Middle East.
Initially, BNY will offer custody services for cryptocurrencies like Bitcoin and Ether. The firm plans to later extend these services to include stablecoins and tokenized assets.
This move reflects a broader trend among major financial institutions to leverage blockchain technology beyond crypto trading, particularly through tokenization of bonds, funds, and stocks for faster settlement and lower costs.