SEC Proposes Sweeping Crypto Custody Rewrite for October 2026

The US Securities and Exchange Commission (SEC) is revisiting its crypto custody rules, sending an amended proposal to the White House for review. The 'Amendments to the Custody Rules' plan targets a publication date of October 2026. This marks a significant shift from former SEC Chair Gary Gensler's 2023 proposal, which aimed to extend existing custody requirements to blockchain assets.

The new draft is reportedly being assessed by the Office of Information and Regulatory Affairs (OIRA), an agency associated with the White House Office of Management and Budget. The filing is labeled 'economically significant,' indicating that it has a major impact on the economy.

According to reports, the SEC's updated rules aim to modernize provisions applicable to investment advisers and investment companies. Current asset holding practices are outdated, and digital assets have changed the game. This re-write will help clarify what constitutes a 'qualified custodian' in the context of blockchain assets.