The financial technological firm Circle announced that it has selected BNY Mellon as a primary custodian for USDC reserves. Circle is the ultimate creditor of USDC and a global internet finance firm that provides internet-based payments and financial infrastructure to businesses of all sizes.
The Bank of New York Mellon is one of America’s oldest investment banks with about $46.7 trillion in assets under custody or administration globally. For over 237 years, BNY Mellon has been a trendsetter in global capital markets.
This collaboration will enable an exchange of expertise across digital and traditional markets, including the bridging of traditional and digital capital markets and investment management.
It will also allow digital asset custody, cash management for fiat and non-fiat payments, and the exploration of digital cash for settlement purposes.
With nearly $52 billion in circulation as of March 2022, Circle’s USDC is one of the world’s fastest-growing dollar digital currencies. Circle’s market valuation has also risen to $9 billion in the last six months.
Roman Regelman, CEO of Asset Servicing and Head of Digital at BNY Mellon, stated “Our role as a custodian for USDC reserves supports the broader marketplace and brings value to clients, founded on our role at the intersection of trust and innovation.”
Jeremy Allaire, Co-Founder and CEO at Circle, added “As we continue to see exponential growth in USDC, the opportunity to work with BNY Mellon is one way we build bridges between traditional financial services and emerging digital asset markets, without sacrificing trust. Together, we will leverage our respective areas of expertise to innovate and build the financial ecosystem of the future.”
Just last month BNY Mellon partnered with Chainalysis becoming the first globally systemic important bank to employ Chainalysis compliance software. BNY to use the software to improve its risk management program by tracking, recording, and analyzing data related to crypto-assets.
