MicroStrategy Chairman Michael Saylor has sparked speculation by saying that “credible rumors” suggest that one or more major U.S. banks could soon offer Bitcoin (BTC) custody services.
If true, this would be a major breakthrough for traditional financial institutions looking to enter the institutional crypto custody space.
One of these institutions, America’s largest custodian bank BNY Mellon, was recently identified during public testimony at Wyoming’s Select Committee on Blockchain, Financial Technology, and Digital Innovation Technology. The testimony revealed that BNY Mellon received an “exemption” from adhering to the SEC’s Staff Accounting Bulletin (SAB) 121, which imposes accounting guidelines for crypto custody business.
In a federal update Monday, Chris Land, general counsel to U.S. Senator Cynthia Lummis, said the SEC and other regulators have cleared the way for BNY Mellon to provide institutional digital asset custody. “BNY wants to be more involved in crypto custody,” Land said. He explained that while the bank initially faced challenges with SAB 121, the SEC granted an exception that allowed BNY to move forward with crypto services.
*This is not investment advice.
