SEC proposes new crypto asset custody rules for funds — CNBC

The U.S. Securities and Exchange Commission (SEC) has proposed new rules intended to make it easier for registered investment advisers, investment companies and business development companies to custody crypto assets on behalf of clients. The initiative provides for a separate system of requirements for the custody of digital assets. This was reported by CNBC.

Self-custody of assets

Under the proposal, crypto assets could be self-custodied under certain circumstances. In addition, state trust companies would be able to act as custodians of crypto assets belonging to clients and regulated funds.

The SEC said the changes are intended to update asset custody requirements that were developed decades ago, as well as remove regulatory barriers for advisers offering cryptocurrency-related investments. According to the regulator, the new rules could also expand the ability of regulated funds to offer investors crypto asset-related strategies.

More current news is available on the UA.News Telegram channel Telegram.

Public discussion

SEC Chair Paul Atkins said the current rules had failed to keep pace with the rapid development of the digital asset market, which has grown to several trillion dollars. According to him, the proposal is intended to create a clear regulatory framework for the custody of crypto assets and allow advisers and funds to operate in compliance with the regulator's requirements.

The proposal is part of U.S. regulators' work on rules for the crypto market within their existing authority after the Clarity Act bill on crypto market structure stalled in the Senate in September. The SEC will accept public comments for 60 days after the document is published in the Federal Register.