The SEC aims to update custody regulations for digital assets held by investment advisers and companies, removing outdated requirements.
The SEC has submitted a proposal to revise crypto custody rules for investment advisers and funds, sent to the White House Office of Management and Budget on August 25. The move seeks to clarify the regulatory framework for digital assets and eliminate outdated custody requirements deemed inconsistent with current market practices.
The proposal follows evolving trading and holding practices in the crypto sector. Full details will be released after OMB review, with an SEC vote and a public comment period expected to follow. The process typically spans at least 60 days before implementation.
No immediate market reaction was reported, but the changes could impact how advisers and funds manage crypto holdings under SEC oversight.