BNY has launched stablecoin mint, burn and custody capabilities for institutional clients, making Circle’s USDC the first stablecoin available on its digital asset custody platform. The service enables BNY clients to hold USDC in custody wallets and instruct Circle to convert dollars into USDC or redeem USDC for dollars, creating a direct link between fiat and digital asset custody within a single institutional framework.
“With the addition of our enhanced stablecoin enablement capabilities, we’re expanding the ways clients can move value with the operational scale, trust and resiliency they expect from BNY,” said Carolyn Weinberg, Chief Product and Innovation Officer at BNY.
The launch extends what is already a deep vertical relationship. BNY custodies part of Circle’s stablecoin cash reserves and serves as fund custodian and transfer agent for the Circle Reserve Fund, the BlackRock managed money market fund that holds most of USDC backing assets. Adding mint, burn and end investor custody means BNY now touches virtually every layer of USDC’s institutional infrastructure, from reserve assets through to the client holding the stablecoin in a custody wallet.
BNY plans to expand support to additional stablecoin issuers and digital cash workflows. It already provides custody for Ripple’s RLUSD and SocGen Forge’s dollar stablecoin, and separately offers a money market fund designed for stablecoin reserve investment. “This is the next chapter in a longstanding relationship that now gives BNY clients connectivity between on-chain and traditional assets, within the infrastructure they already trust,” said Kash Razzaghi, Chief Commercial Officer at Circle.
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