BNY Mellon announced plans to expand its stablecoin support by integrating mint and burn functionality for USDC into its Digital Asset Custody platform. The capability builds on an existing partnership between the custodian and Circle, the issuer behind USD Coin.
The move lets institutional clients mint and burn USDC directly through BNY's custody infrastructure, rather than routing those operations through separate channels. BNY said it also plans to add support for other stablecoins via the same platform, though it did not name which ones or provide a launch timeline.
BNY holds over $41 trillion in assets under administration and custody, making it the world's largest custodian. USDC itself trades near parity and ranks fifth by market capitalization, according to market data. The currency remains a primary on-ramp for institutional crypto trading and settlement.
The expansion reflects growing institutional demand for streamlined stablecoin operations. By housing mint, burn, and custody in one platform, BNY reduces the operational layers institutions must navigate. Competitors like Fidelity and Charles Schwab have also added crypto custody or trading services in recent years, intensifying pressure on traditional finance to offer native digital-asset tools.