Bank of New York Mellon, the nation's oldest bank, said it will soon allow institutional customers to store, transfer, mint and burn Circle Internet Group's USDC stablecoin.

Slated to go live by the end of July, the new capability makes it easier for BNY customers holding USDC in their digital-asset wallets to convert dollars into stablecoins and redeem stablecoins for dollars. (Minting and burning a stablecoin refers to the process of creating new tokens and permanently destroying existing ones to manage the stablecoin's circulating supply.)

BNY already safeguards the majority of the dollar reserves backing USDC, the second-largest stablecoin with a market cap of $74 billion. Over time, the bank said it plans to add similar capabilities for other stablecoin issuers.