BNY, the world’s largest custodian bank with $59 trillion in assets under management, is deepening its relationship with Circle (CRCL) as Wall Street banks ramp up their stablecoin services.
The bank said on Monday: $USDC It will be the first stablecoin supported by a digital asset management platform. Clients will be able to retain $USDC Detained at BNY and instructs Circle to exchange or redeem USD for stablecoin $USDC It is converted back into dollars through the bank.
This move expands BNY’s role. $USDC ecosystem. The bank already serves as the primary custodian for the reserves backing stablecoins. This new service will enable institutions to manage both cash and digital assets through a single platform.
BNY said it plans to support additional stablecoin issuers over time.
The announcement comes as stablecoins gain momentum among banks and asset managers following the passage of the GENIUS Act in 2025, a US law that establishes a federal framework for USD-backed stablecoins. The bill is widely expected to accelerate adoption by institutions by establishing rules regarding reserve assets, disclosures, and issuer oversight.
