US SEC Revised Crypto Custody Proposal Headed to White House Review
The SEC's rewritten digital asset custody framework has advanced to White House review, aiming to define rules for investment advisers.
The U.S. Securities and Exchange Commission has sent a revised proposal on investment adviser custody rules to the White House for final review. The updated framework directly addresses digital assets following the withdrawal of earlier draft versions.
The initiative seeks to provide long-awaited regulatory clarity regarding how institutional fund managers, registered investment advisers, and investment companies can hold cryptocurrencies. Clearer definitions could eliminate lingering legal uncertainties for traditional asset managers.
If approved, the new rule could accelerate institutional entry into digital assets by standardizing custodial requirements across registered entities.
Key takeaways
- The SEC forwarded an updated custody rule to the White House for review.
- The measure specifically covers crypto custody for registered investment advisers.
- Clearer guidelines may lower regulatory hurdles for institutional crypto allocators.