SEC Crypto Custody Rewrite Enters White House Review Without Key Rules Revealed
The SEC's long-awaited rewrite of its crypto custody rules has entered White House review, but key details remain undisclosed. The proposal, which aims to regulate custody arrangements for investment advisers and funds, including their crypto assets, was submitted on August 25.
The Office of Information and Regulatory Affairs (OIRA) is now reviewing the draft rule, which will determine whether changes are made to eligibility requirements, controls, or safeguards. The SEC withdrew its previous safeguarding proposal in June 2025, paving the way for a new rulemaking process.
Registered investment advisers and investment companies rely on institutions that meet federal requirements to hold their assets, bringing banks and state trust companies into the commercial stakes. However, the published records provide no operative proposal language, leaving the direction of any changes unresolved.