SEC Proposes New Crypto Custody Rules for Investment Advisers and Funds
SEC Proposes New Rule for Crypto Asset Custody and Investment Advisers The U.S. Securities and Exchange Commission (SEC) has proposed a new rule to clarify the handling and custody of customer crypto assets. SEC Chairman Paul Atkins described the proposal as establishing a clear regulatory framework for investment advisers and funds, replacing outdated custody rules. Key Highlights of the 760-Page Proposal: Provisions for self-custody by advisers if no qualified custodian is available. Mandates quarterly reviews of the custody status. Allows state-chartered trusts to act as custodians. The rule aims to adapt custody regulations to modern digital assets while modernizing the financial landscape. This move coincides with Commissioner Hester Peirce's departure and addresses key topics in the SEC's broader crypto agenda. ...