The Bank of New York Mellon Corporation has unveiled plans to enhance its digital assets platform with the debut of a novel tool designed to provide both on- and off-chain accounting data to blockchain networks.
The world’s leading custodian stated in an announcement that it is introducing the Digital Asset Data Insights product, a data solution focused on enhancing security and efficiency, while facilitating access to fund accounting information across various blockchains.
This new tool will make global asset manager BlackRock the first user, enabling BNY to communicate a fund’s net asset value on the Ethereum (ETH) network.
This latest on-chain offering from the financial services giant reinforces its presence in the blockchain technology arena. According to the statement, a significant aspect of the effort is aimed at the rapidly growing market for tokenized assets.
Digital Asset Data Insights will allow BNY to utilize smart contracts to automate data delivery for investors involved in tokenized funds.
“Accessing transparent data is essential for our clients’ success in today’s market,” remarked Caroline Butler, global head of digital assets at BNY. “Our platform’s integration of Digital Asset Data Insights reflects our dedication to supporting the entire asset lifecycle through distributed ledger technology, while ensuring data integrity from a reliable source.”
The BlackRock USD Institutional Digital Liquidity Fund will be the inaugural beneficiary of this new solution.
BUIDL, which was introduced in 2024 as a tokenized short-term U.S. Treasury fund, will have its data sent on-chain by BNY.
Reflecting on this recent advancement, BlackRock’s head of digital assets, Robert Mitchnick, stated:
“BNY’s facilitation of off-chain data insights to public blockchains marks an unprecedented event and a significant achievement for the industry. By improving data transparency and accessibility for our investors, BNY has established a new benchmark for digital asset innovation.”
Headquartered in New York City, BNY Mellon acts as the fund administrator and custodian for BUIDL’s assets.
With oversight of over $52 trillion in assets under custody and administration, in addition to more than $2 trillion in assets under management, BNY is focused on utilizing distributed ledger technology to enhance transparency and accessibility. The custodian giant has also invested in spot Bitcoin (BTC) exchange-traded funds and is considering custody for crypto ETFs amidst ongoing regulatory evaluations.