BNY, the world’s largest custody bank, is folding crypto staking into its digital asset custody platform through a new partnership with Galaxy Digital, marking another step in Wall Street’s push deeper into digital assets.
Key Takeaways
BNY, which holds $62.6 trillion in custody assets, will add staking to its platform.Galaxy Digital manages about $3.2 billion in staked assets as of March 31, 2026.BNY’s staking service still awaits regulatory review ahead of its 2026 rollout.Carolyn Weinberg, Chief Product and Innovation Officer at BNY, explained the thinking behind the move. “As digital assets continue to evolve, clients want more than safekeeping alone, they want a broader set of capabilities delivered through an institutional-grade model,” she explained.
The BNY executive added:
“Our work with Galaxy, an early client of BNY’s Digital Asset Custody platform, reflects our strategy of building the financial infrastructure of the future while continuing to expand our digital asset capabilities. With the addition of staking, we will be providing clients with a more comprehensive digital asset custody offering built on the governance, controls and resiliency they expect from BNY.”
Steve Kurz, Global Co-Head of Digital Assets at Galaxy, framed the deal as part of a larger shift in finance. “The future of financial markets will be built on open, programmable rails, and the institutions that move first will define the era that follows,” he remarked. “Galaxy has spent years building the institutional-grade infrastructure to drive that shift, including staking. Our collaboration with BNY brings that work into a framework the world’s largest institutions can trust. As a design partner on BNY’s platform infrastructure, we’re helping shape the foundation on which these services will run.”
Wall Street Removes Another BarrierFor pension funds, asset managers and insurers, the attraction is practical rather than speculative. Institutions rarely object to staking itself. The bigger obstacle has been moving assets outside long-established custody frameworks just to collect validator rewards. Keeping custody, reporting, and crypto staking under one roof removes one of the biggest operational hurdles that has slowed institutional participation.
Regulators Hold the Final KeyRisks have not disappeared. Staking still exposes participants to validator failures, including slashing penalties if infrastructure goes offline or violates network rules. Assets can also remain locked for periods of time, while the tax treatment of staking rewards continues to evolve across several jurisdictions.
