Latest news with #BNY Mellon
Crypto Insight
6 days ago
- Business
- Crypto Insight
OpenEden taps BNY Mellon to manage tokenized US Treasury assets
Real-world asset (RWA) tokenization platform OpenEden partnered with The Bank of New York Mellon Corporation (BNY Mellon) to manage and custody the underlying assets of its flagship tokenized US Treasury product, TBILL. OpenEden announced the partnership Wednesday, bringing one of Wall Street's largest and oldest custodians into the growing market for tokenized Treasurys. OpenEden said TBILL is the first tokenized US Treasury fund with a Moody's 'A' rating to have its assets managed by a global custodian. A Moody's 'A' rating means that the asset is of upper-medium-grade quality, which indicates low credit risk and a strong capacity to meet financial obligations. It's considered safe by traditional finance standards. OpenEden founder and CEO Jeremy Ng said combining their platform with BNY's 'deep fiduciary expertise' allows them to create a new standard of trust in the digital asset space. OpenEden says demand for tokenized US Treasury Bills grew The company said demand for the product has increased, reflecting interest in regulated, onchain cash-management solutions. OpenEden's TBILL product was launched in 2023 to give investors blockchain-based access to a pool of short-dated US Treasury Bills and overnight reverse repurchase agreements through the minting of the TBILL token. This means that the TBILL token represents a share of the underlying portfolio of US Treasury Bills that mature in the short term and their associated yield. OpenEden said BNY Mellon's investment management arm, Dreyfus, will act as sub-manager of the TBILL fund. Meanwhile, BNY will serve as the primary custodian for the underlying assets, using its infrastructure. BNY Mellon's global head of investments and wealth, Jose Minaya, said the bank sees itself as a bridge between traditional finance and emerging technology in the digital asset space. He said the partnership will allow BNY Mellon to extend its liquidity management expertise, adding that both companies aim to cover the full lifecycle of tokenized assets. BNY Mellon deepens tokenization footprint BNY Mellon has been active in the digital asset space since 2022, when it launched a digital custody platform to safekeep institutional clients' Bitcoin and Ether holdings. The service lets the bank store private keys and access to funds, and provides bookkeeping services to fund managers in other assets. On April 3, the bank launched a digital assets data insights product that delivers onchain and offchain data across blockchain networks, expanding its footprint in the crypto space. More recently, the bank partnered with Goldman Sachs on a money market fund project. On July 23, the two companies announced that they were preparing to offer institutional investors access to tokenized money market funds, which could unlock 24/7 market access and real-time settlement in capital markets. Source:
Yahoo
24-07-2025
- Business
- Yahoo
Goldman Sachs and BNY Mellon Team Up for Tokenized Money Market Funds
Bank of New York Mellon (BNY) and Goldman Sachs (GS) are rolling out tokenized money market funds for clients as digital asset adoption is accelerating. BNY, which is one of the oldest and largest custody banks in the world overseeing $53 trillion of assets, announced on Wednesday to start offering institutional investors token versions of money market fund share classes via its LiquidityDirect platform. Ownership records and transactions are recorded on Goldman Sachs Digital Asset Platform's blockchain. Institutions that have signed up include BlackRock, Fidelity among others. BNY acts as the shareholder servicer and custodian for the funds, new role of tokenization manager, responsible for triggering the minting and burning of tokens that mirror fund shares on BNY's books, according to the offering's website. "The step of tokenizing is important, because today that will enable seamless and efficient transactions, without the frictions that happen in traditional markets," Laide Majiyagbe, BNY's global head of liquidity, financing and collateral, told CNBC. Tokenized money market funds, predominantly backed by U.S. government securities, have been at the forefront of tokenization efforts, bringing traditional asset classes onto blockchain rails. The market for tokenized U.S. Treasuries topped $7 billion this year, more than tripling in a year, data shows. While rapidly growing, that's only a fraction of the overall $7 trillion money market fund market.
