SEC staff outlines broker limits for self-custodial crypto interfaces

The latest statement provides interim guidance for software supporting transactions through self-custodial crypto wallets.

Staff in the US Securities and Exchange Commission’s Division of Trading and Markets have outlined circumstances in which they would not object to certain self-custodial crypto interfaces operating without broker-dealer registration.

Published on 13 April 2026, the statement applies to websites, browser extensions, mobile applications and wallet-integrated software that help users prepare transactions involving crypto asset securities through blockchain protocols or smart contracts.

The position applies only when users retain control of their private keys and initiate and authorise their own transactions. It is also limited to broker-dealer registration under Section 15 of the Securities Exchange Act and does not cover every legal obligation that may apply to a provider.

Eligible interfaces may display market data and possible execution routes, but their software must use objective, disclosed and independently verifiable parameters. Users must be able to customise default transaction settings and view alternative routes where available.

Providers must not recommend particular investments, solicit users to undertake specific securities transactions or describe one execution route as offering the ‘best price’ or being the ‘most reliable’. Any affiliation with a trading venue must be disclosed.