The SEC has submitted a proposal for cryptocurrency asset custody rules to the White House for review

BlockBeats News, August 26th. According to Bloomberg, the U.S. Securities and Exchange Commission (SEC) submitted a new proposal on August 25th to the White House Office of Management and Budget for review regarding investment advisers and investment companies holding digital assets on behalf of clients. The federal regulatory agenda indicates that the proposal aims to "clarify the cryptocurrency custody framework" and address how institutions can hold digital assets for clients without violating SEC regulations.

The SEC stated that the proposal will also eliminate some custody requirements that have become "outdated" due to market developments and current changes in trading and asset holding practices, as part of Chairman Paul Atkins' efforts to modernize the regulatory framework. This move indicates that while cryptocurrency market structure legislation is still pending in the Senate, U.S. financial regulatory agencies are continuing to advance the Trump administration's cryptocurrency policy agenda.

The full content of the proposal will be released after the completion of the review by the Office of Management and Budget. The office may make modifications to the content, after which the proposal will be voted on by the SEC committee currently composed of 3 Republican members. If approved, the SEC typically opens the proposal for public comment for at least 60 days, then revises it and votes again before the final rule can take effect.