BNY brings $59T custody power to Abu Dhabi crypto push

BNY plans to offer regulated digital asset custody in Abu Dhabi through a new collaboration with Finstreet Limited and ADI Foundation. 

The service will be anchored in Abu Dhabi Global Market, the financial free zone that has become a key base for digital asset firms in the UAE.

The initiative will start with custody for Bitcoin and Ethereum. The companies later plan to explore stablecoins, tokenized real-world assets, and other regulated digital instruments. BNY said the work remains subject to final agreements and regulatory approvals.

Local partners support the buildout

Finstreet is a digital market infrastructure group and a subsidiary of International Holding Company through Sirius International Holding. It has ADGM-based units licensed for market trading, custody, settlement, advisory, and investment-related activities.

ADI Foundation will support the project through Abu Dhabi-based blockchain infrastructure. Its ADI Chain is described as an institutional Layer 2 network for stablecoins and real-world assets in the MENA region.

Hani Kablawi, executive vice chair at BNY, said, “The UAE is entering a new phase of financial development, characterized by deeper markets, greater digital sophistication and stronger global connectivity.” He added that BNY can connect traditional and digital financial systems with its clients.

Abu Dhabi expands regulated crypto activity

The BNY move comes as Abu Dhabi increases regulated digital asset activity. As crypto.news reported, Tether’s USDT was approved as an accepted virtual asset in ADGM in December 2024, allowing FSRA-regulated entities to offer USDT-powered services in the region.

Moreover, as previously reported, in March 2026, Ondo Finance received approval to trade tokenized U.S. stocks and ETFs in ADGM. Ondo’s digital securities were listed on a Binance-operated multilateral trading facility regulated by ADGM’s Financial Services Regulatory Authority.

These approvals show how Abu Dhabi is building a regulated path for stablecoins, tokenized securities, and custody services. BNY’s plan adds a large traditional finance player to that structure.

Custody scale gives the deal weight

BNY oversees $59.4 trillion in assets under custody and administration and $2.1 trillion in assets under management, as of March 31, 2026. The bank also said it serves more than 90% of Fortune 100 companies and nearly all top 100 banks globally.

That scale makes the Abu Dhabi partnership notable for institutional crypto custody. Custody remains a key service for funds, banks, and large clients that need secure storage, governance, and regulated access before holding digital assets.

The planned service also fits the UAE’s wider push into tokenized finance. BNY’s entry gives Abu Dhabi another bridge between global banks, digital asset infrastructure, and local regulated markets.