BNY, the US-based financial services company, has expanded its Digital Asset Custody platform to select institutional clients in the European Union, operating under the bloc’s Markets in Crypto-Assets (MiCA) regulatory framework. The move extends the bank’s digital asset services in Europe as financial institutions increasingly explore cryptocurrencies, stablecoins and tokenized securities.
The expansion follows the July 2026 addition of The Bank of New York Mellon SA/NV, BNY’s European banking subsidiary, to the European Securities and Markets Authority’s MiCA register. The registration enables the entity to provide crypto-asset custody, administration and transfer services on behalf of eligible clients in the EU.
The European rollout gives institutional investors access to digital asset custody through an established global systemically important bank operating within the MiCA framework, extending traditional asset servicing capabilities into the digital asset market.
BNY said the expansion reflects growing interest among European financial institutions in incorporating digital assets into their operations while maintaining established standards for risk management, security and regulatory oversight.
Institutional Demand Drives Digital Asset Adoption
According to Jennifer Barker, BNY’s head of Europe, banks and broker-dealers are expanding their crypto-asset and stablecoin offerings, while asset managers and corporate treasurers are evaluating digital payments and tokenized securities.
These developments are creating demand for infrastructure that can improve liquidity management, accelerate settlement and facilitate the movement of collateral between financial institutions. BNY believes institutions pursuing digital asset strategies require operational resilience, governance and safeguards comparable to those used in traditional financial services.
The company’s Digital Asset Custody platform, launched in 2022, was developed to provide secure safekeeping and servicing of digital assets. Its infrastructure incorporates multiparty computation (MPC) technology, segregated client wallets, and private key storage to strengthen security and support institutional asset management requirements.
MPC technology distributes control over cryptographic operations among multiple parties or components, reducing reliance on a single private key holder. Combined with segregated wallets and custody controls, the approach is designed to help institutions manage digital assets within established operational risk frameworks.
Under its custody model, BNY provides institutional access to Bitcoin (BTC), Ethereum (ETH), Solana (SOL) and USD Coin (USDC). The company has also indicated plans to broaden the range of supported cryptocurrencies and stablecoins as its digital asset business develops.
Digital Custody Integrated With Traditional Asset Servicing
BNY is positioning the platform as an extension of its established asset servicing operations rather than a separate cryptocurrency product. The approach is intended to allow institutional clients to incorporate digital assets into their existing investment and operational processes.
Carolyn Weinberg, BNY’s chief innovation and market transformation officer, said the platform draws on the bank’s established controls and operational expertise. She explained that the objective was to help clients connect their traditional financial activities with digital asset strategies across the asset lifecycle.
This integration could be relevant to institutions seeking to manage conventional securities and digital assets through complementary operational frameworks. It may also support more coordinated processes involving custody, payments, settlement and collateral management.
BNY’s strategy links digital asset custody with broader financial applications, including tokenized assets, digital cash, payments and collateral mobility, rather than limiting its services to the safekeeping of cryptocurrencies.
The company views custody as a foundational component of its wider digital asset infrastructure. As financial markets explore tokenization, institutions increasingly require services that connect blockchain-based assets with existing financial systems and institutional workflows.
MiCA Registration Strengthens BNY’s European Offering
The European expansion reflects BNY’s broader investment in infrastructure designed to connect traditional and digital financial markets. By extending its custody capabilities to select EU clients, the bank aims to support institutions that want to explore digital assets within a regulated operating environment.
MiCA establishes a common regulatory framework for crypto-asset markets across the European Union. Operating under the framework provides a regulatory basis for eligible service providers to deliver specified crypto-asset services, subject to applicable requirements.
For banks, broker-dealers, asset managers and corporate treasurers, regulated custody infrastructure can form an important part of digital asset adoption, particularly when security, governance and operational controls are central considerations.
The rollout does not mean that every EU institution will automatically receive access to the service, as BNY has specified that the expansion initially covers selected institutional clients.
The move strengthens BNY’s position in institutional digital asset services by combining its traditional custody expertise with regulated crypto-asset infrastructure, as European financial firms explore new approaches to payments, settlement and tokenized securities.
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