State Street partners with digital asset custodian Taurus for its tokenization projects with the intention of expanding to cryptocurrency custody once the U.S. regulatory environment improves. State Street, which manages $44.3 trillion in assets, plans to launch tokenized versions of traditional assets. The bank has been “very explicit” about the need to amend SAB 121, which could require banks that want to hold cryptocurrencies to maintain a costly amount of capital to offset the risk, Donna Milrod, chief product officer and head of digital asset solutions, said in an interview. “While we’re starting with tokenization, that’s not where we’re going to stop. As soon as U.S. regulation helps us, we’ll also provide digital custody services.”
