SEC Crypto Custody Framework Moves to White House for Final Review
The SEC has submitted an updated digital asset custody rule covering investment advisers to the White House for official review.
The U.S. Securities and Exchange Commission has sent a revised custody rule to the White House Office of Information and Regulatory Affairs. The updated framework directly addresses how registered investment advisers and investment companies must safeguard digital assets.
This step follows the regulator's earlier withdrawal of a contentious 2023 proposal. The revised document aims to deliver clearer compliance guidelines for institutional custodians managing cryptocurrencies on behalf of regulated clients.
Clearer federal custody standards could unlock further institutional capital by reducing legal ambiguities for qualified custodians, fund managers, and institutional market participants operating in the United States.
Key takeaways
- SEC submits revised digital asset custody rules to the White House.
- The policy targets investment advisers and registered fund managers.
- The move seeks to clarify institutional safeguarding standards for crypto.