SEC Submits Revised Crypto Custody Framework for White House Review

Regulators at the US Securities and Exchange Commission (SEC) have submitted a revised framework for cryptocurrency custody regulations to the White House Office of Management and Budget. The proposal, aimed at clarifying guidelines for investment firms and funds safeguarding digital assets on behalf of clients, remains confidential as it undergoes review.

Under the leadership of Chair Paul Atkins, who prioritized formal rulemaking over enforcement actions since 2025, the SEC has made significant strides in establishing clear regulatory frameworks for digital assets. This development comes amidst ongoing delays in the Senate regarding the CLARITY legislation.

The new framework is part of a comprehensive strategy to implement the Trump administration's digital asset policy objectives and addresses concerns from investment advisers seeking clarity on complying with current regulations while managing cryptocurrency holdings.