SEC Proposes Rule Allowing Advisers to Self-Custody Crypto Assets
The US Securities and Exchange Commission (SEC) has proposed a new rule that would allow investment advisers and funds to self-custody their cryptocurrency assets. This change is part of a broader effort to modernize regulations surrounding digital assets.
According to the proposal, self-custody would enable these entities to maintain greater control over their crypto holdings, potentially reducing costs and increasing efficiency in managing their portfolios.
The SEC's proposed rule does not explicitly state how self-custody will be implemented or what specific measures will be taken to ensure investor protection. However, it is likely that the agency will require registrants to adopt robust security protocols to safeguard their crypto assets.