SEC Submits Revised Crypto Custody Rule for White House Review
The US SEC has forwarded an updated custody rule governing digital asset management by investment advisers to the White House for review.
The U.S. Securities and Exchange Commission has sent a revised crypto custody rule to the White House for final review. The updated framework specifically targets registered investment advisers and investment funds managing digital assets.
This move follows the regulator's earlier decision to withdraw its contentious 2023 proposal. The new text aims to clarify safeguarding requirements and define how institutional custodians must handle cryptographic keys and digital holdings.
Regulatory clarity around custody could clear legal bottlenecks for traditional institutional asset managers seeking compliant entry into digital assets, setting clearer standards for domestic custodians.
Key takeaways
- SEC submits updated custody framework for White House review.
- Proposal outlines safeguarding rules for funds and registered advisers.
- Aims to replace the previously withdrawn 2023 custody draft.