BNY plans to add crypto staking to its digital asset custody platform through a collaboration with Galaxy. The bank announced the planned service on August 4, 2026, as it expands its offering for institutional digital asset clients.
Eligible institutions could earn staking rewards while keeping their crypto assets within BNY’s custody system. Galaxy will supply the staking infrastructure through one workflow, while the planned service awaits regulatory review.
BNY said the collaboration would combine crypto custody and staking within one institutional servicing model. The arrangement could remove the need for clients to transfer eligible tokens to another provider before staking them.
Galaxy will provide the technical infrastructure and support proof-of-stake activity through BNY’s platform. The companies said the service would use controls, governance standards, and asset protections designed for institutional clients.
Staking allows token holders to support proof-of-stake blockchain networks by locking eligible assets. In return, those holders may receive rewards under the rules of each supported network.
BNY said clients increasingly seek services that extend beyond asset storage. Carolyn Weinberg, BNY’s chief product and innovation officer, described that demand in the announcement.
“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,” Weinberg said.
Galaxy will also serve as a design partner for BNY’s digital asset platform. Its work will cover infrastructure development beyond the planned staking feature, according to the announcement.
BNY aims to place staking beside existing services available to eligible institutional clients. Those services may include custody, fund accounting, tax reporting, payments, and client reporting where applicable.
Galaxy already uses BNY’s digital asset custody platform as an early client. The Nasdaq-listed company operates across digital assets and data center infrastructure and has experience with proof-of-stake networks.
Steve Kurz, Galaxy’s global co-head of digital assets, linked the collaboration to the development of programmable financial systems. “The future of financial markets will be built on open, programmable rails, and the institutions that move first will define the era that follows,” Kurz said.
BNY launched its digital asset custody service in 2022 and has since broadened its blockchain work. The bank manages tens of trillions of dollars in assets under custody and administration.
Additionally, BNY plans to move core transfer agency record-keeping onto blockchain technology. The proposed system would create one on-chain ownership ledger and reduce reliance on several intermediaries.
The bank also plans around-the-clock settlement for traditional and tokenized United States Treasuries in 2027. Before the end of 2026, it expects to test tokenized Treasuries on a private blockchain.
Ethereum represents the largest proof-of-stake network by market value. The blockchain adopted proof-of-stake in 2022 after replacing its former mining system. Ethereum traded near $1,868 at press time, according to CoinMarketCap data. The token fell 0.3% over 24 hours and about 1.3% across seven days.
Its market value stood near $225 billion, placing Ethereum second among crypto assets. However, BNY did not identify which networks or tokens the planned staking service would support.
BNY also did not provide a launch date, fee structure, or client eligibility details. Regulatory review must occur before the bank makes the staking service available through its custody platform.
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