The increasing relevance of cryptocurrencies is forcing blockchain protocols to take new initiatives and make new collaborations in order to facilitate a growing number of consumers. These new developments are paving way for more innovation in the blockchain space.
Traditional organizations, banks, and businesses are also developing a liking for crypto as they are starting to believe that blockchain is the future. Chainalysis is also following a similar trend in the crypto industry.
In a recent development, Chainalysis has announced its partnership with the Bank of New York Mellon Corporation (BNY Mellon). Chainalysis is a popular blockchain data platform and it is partnering with the largest asset servicer, BNY Mellon.
Being globally recognized, BNY Mellon is aiming to become the first bank to integrate Chainalysis’s compliance software product. The bank aims to do so under its newly initiated risk management program. It will help BNY Mellon to facilitate its users in a more effective manner.
BNY Mellon enters the digital asset market by partnering up with Chainalysis
BNY Mellon had previously announced that the organization is building digital custody and administration platform. The platform was supposed to deal with traditional and digital assets. With time, BNY Mellon is aiming to incorporate a complete Chainalysis compliance software suite.
The Global Head of Custody, Tax and Network Management for BNY Mellon, Caroline Butler said that “BNY Mellon enters the digital asset market as the most trusted asset servicer in the space. Working with Chainalysis and other leading fintech providers is foundational to our role as a trusted innovator and the extension of our capabilities into products that serve the growing cryptocurrency market.”
Moreover, the Co-founder and Chief Strategy Officer of Chainalysis, Jonathan Levin said that “Chainalysis has always believed that financial institutions are critical to the overall growth and success of the cryptocurrency industry.”
BNY Mellon enjoys a credible reputation among the consumer sectors. It is known for its innovative way of operating. Thus, the collaboration of the bank is highly anticipated by the users. The software suite of Chainalysis incorporates features like KYT (Know-Your-Transactions), Kryptos, and Reactor.
These features allow real-time transaction monitoring so platforms can detect any potential threat or fraudulent attempt. It helps banks and other financial institutions to develop effective compliance frameworks. This is why the partnership between the two organizations seems to be a major step forward, especially for BNY Mellon. The bank is now marking an entry into the crypto world.
