Bank of New York Mellon’s $13 million BTC ETF holdings revealed

In another sign that traditional financial institutions are increasing their investments in digital assets, BNY Mellon disclosed that it held more than $13 million in BTC ETFs at the end of the fourth quarter.

According to the latest disclosure documents filed with the U.S. Securities and Exchange Commission, BNY Mellon owns 115,108 shares of WisdomTree BTCW, worth approximately $11.87 million, and 25,309 shares of BlackRock iShares IBIT, worth approximately $1.4 million.

BNY Mellon's position in the BTC ETF further shows that major Wall Street banks are cautiously entering the digital asset field.

For example, JPMorgan Chase holds nearly $1 million in BTC ETF shares. Goldman Sachs reported that as of the end of the fourth quarter, its holdings of BTC and ETH ETFs exceeded $2 billion.

The SEC approved the spot BTC ETF in early 2024, allowing institutional and retail investors to invest in BTC without directly custodying the assets. This move is widely seen as a key moment for traditional finance to adopt Crypto assets.

Despite the growing participation in ETF investments, regulatory restrictions still prevent major banks from directly holding or trading Crypto assets.

In December, Goldman Sachs CEO David Solomon reiterated that regulatory barriers restrict banks from directly holding Crypto assets, and said that while the company provides digital asset advisory services, it is not allowed to hold BTC as principal.

Despite the current restrictions, regulators are beginning to change their stance under the new US administration.

Federal Reserve Chairman Jerome Powell recently reiterated that the Fed will not prevent banks from providing Crypto services as long as they manage the associated risks.

On February 12, he addressed Congress and noted that many banks regulated by the Federal Reserve have already been involved in the field of Crypto assets in accordance with established guidelines. But he did not discuss the possibility that banks may invest and hold BTC as their treasury bonds, only warning against over-investment.

Powell's remarks coincide with the trend of Washington's shifting stance toward Crypto assets.

The U.S. Congress recently promoted a bipartisan legislation to establish clearer regulatory provisions for Crypto assets, while the U.S. Securities and Exchange Commission suspended several lawsuits against major Crypto asset companies, changing its more aggressive enforcement approach.

In addition, the Treasury Department has expressed openness to stablecoin regulation, and lawmakers continue to press for regulatory clarity to prevent innovation from moving overseas.