BNY Launches Digital Transfer Agency for Fully Onchain Tokenized Funds

Highlights:

• BNY has linked blockchain ownership records with its traditional transfer agency infrastructure.
• The service covers $8.6 trillion in assets across 7.6 million investor accounts.
• Baillie Gifford, Dreyfus, and BlackRock plan tokenized fund launches through the platform.

The world’s largest custodian, BNY, has launched digital transfer agency services for fund issuers using public blockchains. According to the announcement, the platform supports tokenized and traditional funds across jurisdictions, networks, and payment methods. It also keeps the bank’s transfer agency system in place.

BNY Moves Transfer Agency Records Onchain

The service places legal ownership records and fund value on a blockchain. That structure differs from digital twin models, which mirror assets that systems record. Instead, issuers can use one shared record for transactions, ownership changes, subscriptions, and redemptions.

Moreover, the platform supports payments through fiat currencies and stablecoins. New minting and burning tools will manage fund share issuance within the bank’s ecosystem. As a result, investors can move eligible assets without separate recordkeeping systems.

Emily Portney, the global asset servicing head, said the platform links tokenization, distribution, and custody. She added that public blockchains can hold legal fund records. Meanwhile, the bank will connect those records with its transfer agency infrastructure.

That link gives fund managers ownership and transaction data across digital and traditional channels. Therefore, clients can manage structures without building separate servicing arrangements. The model could also reduce manual reconciliation between different databases.

We're helping redefine fund servicing. #BNY has launched Digital Transfer Agency (TA) capabilities with @BGDA_UK, @BlackRock and BNY Investments Dreyfus among the first issuers.

Digital TA supports both #tokenized and traditional asset funds in an end-to-end servicing model… pic.twitter.com/2ueLhs69FT

— BNY (@BNYglobal) July 29, 2026

Early Fund Partners Test Native Token Models

The service will first support selected clients in the United States and United Kingdom. Dreyfus now plans a new digitally native money market fund through the platform. Its BLIQUID tokens will represent fund shares.

Meanwhile, Baillie Gifford has launched the BAGEY Enhanced Yield Fund. The company calls it the first publicly available, fully native, UK-regulated tokenized fund. Baillie Gifford developed the structure with the bank through a strategic relationship.

Theo Golden, Baillie Gifford’s digital assets head, said blockchain creates a shared record among market participants. That ledger can serve as the source for ownership information and transaction history. As a result, participants may rely less on separate databases and repeated checks.

BlackRock also expects to use the service for a tokenized money market share class. The BSTBL product will target reserve needs linked to stablecoin operations. Additionally, the platform may support other managers seeking regulated onchain fund structures.

The bank services about $8.6 trillion across more than 7.6 million investor accounts. It also oversees more than $59 trillion in assets under custody and administration. Those figures give the group a broad base for institutional tokenized products.

Digital Assets Strategy Extends Beyond Fund Records

The transfer agency launch fits within a digital assets strategy. The bank already offers custody, stablecoin support, tokenized deposits, and related market infrastructure. Moreover, these services connect with existing fund administration and cash management operations.

Carolyn Weinberg, the bank’s product and innovation chief, called digital transfer agency the next stage of fund servicing. She said managers need traditional operating standards alongside easier movement between digital markets. Similarly, Stephanie Pierce said the service should simplify cash and liquidity management.

For now, the company will roll out the platform with a limited client group. It plans broader expansion after the initial United States and United Kingdom launch. Meanwhile, fund issuers can keep using traditional services while testing fully native blockchain structures.

In May, BNY entered Abu Dhabi through partnerships with Finstreet and the ADI Foundation. The partners planned regulated digital infrastructure inside Abu Dhabi Global Market. The offering covered institutional custody for Bitcoin and Ethereum, with plans for stablecoin and tokenized asset support later.