SEC Submits Revised Digital Asset Custody Proposal to White House
The US SEC has moved a revised cryptocurrency custody framework to the White House for formal administrative review.
The US Securities and Exchange Commission has sent a revised draft of its digital asset custody rules to the White House for interagency review. The incoming framework is designed to govern registered investment advisers and funds holding cryptocurrencies, following the withdrawal of an earlier 2023 proposal.
The regulatory rewrite seeks to provide clearer compliance standards for institutional custodians and asset managers handling digital assets. By replacing previous ambiguous guidelines, the measure attempts to address ongoing legal frictions and establish distinct operational boundaries for qualified custodians.
Institutional adoption often hinges on regulatory certainty around custody requirements. Final approval of this framework could encourage traditional financial institutions and investment funds to expand their digital asset exposure with lower compliance risks.
Key takeaways
- The SEC forwarded a revised crypto custody rule to the White House.
- The proposal targets registered investment advisers and fund managers.
- Clearer custody guidelines could accelerate institutional asset inflows.