The US Securities and Exchange Commission (SEC) has sent a proposal to overhaul crypto custody rules to the White House for review. According to Cointelegraph, this move is meant to clarify how investment advisors and funds can hold clients’ digital assets as the proposal goes through the review process.

What We Know So Far

The initiative is about reworking how custody practices for crypto assets are handled. The document is now with the White House, and this review could tighten up the framework for how market players manage digital assets on behalf of their clients.

Who’s Impacted

This proposal matters for investment advisors and funds that hold crypto for clients. Clearer guidance could ease regulatory uncertainty around custody processes, picking service providers, and setting up internal controls when dealing with digital assets.

What’s Next

The proposal is still making its way through the review stages. As it moves forward, the industry could get a more concrete playbook for how to custody client digital assets in line with SEC requirements.