BNY Brings $8.6 Trillion Fund Business Onchain

BNY is taking a huge step into blockchain technology by launching a digital transfer agency. This new system records fund transactions and tracks investor ownership directly onchain. Major financial players like BlackRock, Baillie Gifford, and BNY own Dreyfus unit are expected to join as the first users.

Baillie Gifford plans to use this platform to power the United Kingdom first native regulated tokenized fund. This move shows traditional finance institutions are getting serious about blockchain infrastructure. Instead of relying on slow legacy systems, funds can now settle and track ownership with much greater speed and clarity.

For the broader market, this is a clear sign that tokenization is moving past the experimental phase. When a custody giant managing trillions of dollars builds onchain tools, it opens the door for more institutional capital to flow into digital assets. Traders should watch for more traditional funds to adopt tokenized structures in the coming months.