SEC Advances Revised Crypto Custody Framework to White House
The US Securities and Exchange Commission (SEC) has submitted a revised framework for cryptocurrency custody to the White House Office of Management and Budget. The proposal, which aims to clarify guidelines for investment firms and funds safeguarding digital assets on behalf of clients, was sent on August 25.
The new leadership at the SEC, led by Chair Paul Atkins since 2025, has prioritized formal rulemaking over enforcement actions. This shift in approach is evident in the agency's efforts to establish clear regulatory frameworks for digital assets.
The proposal would eliminate provisions deemed obsolete and provide clarity on complying with current regulations while managing cryptocurrency holdings. However, the full text of the proposal remains confidential as it undergoes executive branch review and potential modification.