Grayscale Investments has hired the oldest bank in the United States, BNY Mellon, to manage the assets of its Bitcoin trust. The bank will also provide ETF services to the Bitcoin Trust after it is converted into an Exchange Traded Fund (ETF).
Grayscale teams up with BNY Mellon
Grayscale Investments announced Tuesday that it has selected the Bank of New York Mellon (BNY Mellon) as the asset servicing provider for Grayscale Bitcoin Trust (OTCQX: GBTC). The announcement explains:
Through this agreement, BNY Mellon will provide the Grayscale Bitcoin Trust with fund accounting and administration with effect from October 1, 2021. In addition, after converting to an ETF, BNY Mellon is expected to provide transfer agent and ETF services for the Grayscale Bitcoin Trust.
“The agreement provides Grayscale with improved scalability, resilience and automation via BNY Mellon’s market-leading platform,” the company claims.
Michael Sonnenshein, CEO of Grayscale Investments, commented: “The inclusion of BNY Mellon is an important milestone in our commitment to convert Grayscale Bitcoin Trust into an ETF.”
The oldest bank in the US, BNY Mellon, is a global investment firm with presence in 35 countries. As of March 31, the bank had $ 41.7 trillion in assets under management and / or $ 2.2 trillion in assets under management, according to its website. BNY Mellon set up a crypto unit in February to offer bitcoin services.
Roman Regelman, CEO of Asset Servicing and Head of Digital at BNY Mellon, said Tuesday, “Providing essential fund management services to the world’s largest digital currency asset manager further confirms that BNY Mellon is right at the intersection of trust and innovation.” added:
This is another major milestone in our rapidly growing digital assets capabilities and our broader strategy of putting customer selection at the heart of what we do.
What do you think of Grayscale choosing BNY Mellon to provide asset servicing and ETF services for its Bitcoin trust? Let us know in the comment section below.
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