BNY Mellon is rolling out a blockchain-based transfer agency platform that will handle fund transactions and maintain ownership records for $8.6 trillion spread over 7.6 million investor accounts. This initiative runs alongside the existing system as part of a gradual shift towards blockchain settlement and compliance.
Handling fund subscriptions, redemptions, and ownership tracking traditionally involves multiple parties managing separate databases. BNY’s new platform offers a shared, onchain ledger that aims to streamline these processes, potentially cutting down duplication and speeding up settlement times.
Among the first expected users are Baillie Gifford, utilizing it for the UK’s first fully regulated tokenized fund, Blackrock, and BNY’s own Dreyfus unit. These moves align with increasing institutional interest in tokenized funds and asset digitization.
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