BNY Mellon participates in Fireblocks, a crypto-custody startup.

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The crypto-ecosystem has been rapidly changing recently, with many new entrants attempting to introduce groundbreaking products to the space. Fireblocks is one of them, with the crypto-custody and transition company making headlines today after receiving another $133 million in investment from investors. The startup was backed by prominent companies such as the Bank of New York Mellon and Silicon Valley Bank.

It should be remembered, though, that the overall investment size is undisclosed, with the firm announcing that, despite being on the brink of being a unicorn, it has yet to hit a valuation of $1 billion.

FireBlocks offers a range of products and services that allow clients to store, move, and issue digital assets. The primary emphasis is on offering custody for retail buyers, and it actually owns approximately $400 billion in cryptocurrencies.

The products’ primary target markets are banks, fintech startups, and other financial institutions. With the crypto-market booming and interest rates remaining at zero percent for the near future, financial institutions’ interest in storing crypto and diversifying portfolios can only develop.

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It is notable that its funding round attracted attention from the likes of BNY Mellon, America’s oldest bank. Indeed, the banking behemoth’s Digital Assets division recently announced the addition of a secure portal for downloading, storing, and issuing digital assets.

When asked for comment on the current situation, BNY Mellon told the media,

“This strategic investment is the logical next step in our journey to being an asset servicer for all asset classes.”

Subject to necessary permits, the Bank’s own electronic custody will be available later this year. Since little is known about the fundamental technology of Fireblocks and how they will affect the modern digital assets network, BNY says it will be “a significant part.”

 

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