Investment Advisers

The U.S. Securities and Exchange Commission has proposed new rules intended to clarify how investment advisers and regulated funds may custody client crypto assets. The proposal includes a limited pathway for adviser self-custody, recordkeeping and disclosure expectations, auditing requirements, and the potential use of state-chartered trusts as custodians.

The SEC’s Crypto Task Force is advancing custody rules intended to clarify how broker-dealers and investment advisers can handle crypto assets. The effort is part of a broader push to integrate blockchain-based assets into existing securities market structures while Congress remains without a settled framework.