SEC Sends Revised Crypto Custody Framework for White House Review
The US SEC has submitted its updated digital asset custody regulations to the White House for formal administrative assessment.
The United States Securities and Exchange Commission has forwarded a revised regulatory framework governing digital asset custody to the White House for administrative review. The upcoming rules will establish compliance standards for registered investment advisers and funds holding cryptocurrencies.
This submission follows the withdrawal of an earlier 2023 proposal that encountered widespread opposition from institutional custodians and crypto advocates. The refined draft aims to provide clearer guardrails for qualifying custodians managing digital assets on behalf of institutional investors.
Finalizing these custody requirements could remove significant regulatory ambiguity, clearing a pathway for traditional investment entities to safely expand digital asset management operations.
Key takeaways
- The SEC forwarded an updated crypto custody rule proposal to the White House.
- The framework targets registered investment advisers and asset managers.
- The revised rules seek to replace previously contested 2023 custody guidance.