SEC Chair directs staff to develop conditional crypto-custody proposal
Regulation · · Ketju Research
This entry records an official signal, such as a speech or a statement. It does not change the law.
What changed
SEC Chair Paul Atkins said he asked staff to develop a proposal clarifying crypto-asset custody for investment advisers and regulated funds. He stated his preferred direction would permit adviser self-custody and use of state trust companies under appropriate conditions. These remarks are the Chair's views and signal prospective rulemaking; they are not a Commission proposal, rule, or presently available custody permission.
Who it affects
- Investment advisers managing client crypto assets
- Registered funds and their advisers evaluating crypto-asset custody
- State trust companies providing digital-asset custody
- Compliance personnel assessing custody arrangements for assets without an available qualified third-party custodian
What is still open
- Whether and when the Commission will publish a proposal
- The conditions that would govern adviser self-custody
- How any proposal would define eligible state trust companies and address qualified-custodian requirements
- Whether a future Commission majority will adopt the Chair's preferred approach
What it means for an advisor
- Do not treat the speech as authorization to self-custody client crypto assets or use any particular state trust company
- Inventory crypto-custody arrangements and identify controls that could be affected by a future proposal
- Monitor the SEC rulemaking docket for operative text, proposed conditions, and transition provisions
Sources
- Remarks at the Solana Policy Institute Summit: Washington x Wall Street · Chair of the U.S. Securities and Exchange Commission ·
Version 1, published . Educational analysis, not legal advice.