U.S. SEC submits digital asset custody rule revision to White House

The U.S. SEC has submitted a proposed rule revision on digital asset custody to the White House Office of Management and Budget, clarifying custody standards for client digital assets held by investment advisers and investment companies, Bloomberg reported. The proposal is part of regulatory modernization being pushed by SEC Chairman Paul Atkins and is intended to give institutions clearer guidance on holding crypto assets safely without violating SEC rules while scrapping a broad set of outdated requirements that have lagged market changes. Once the White House OMB completes its review, the proposal will be made public after a vote by the three Republican SEC commissioners. It would then move through at least a 60-day public comment period and a final revote before taking effect. Bloomberg said the move suggests the Trump administration's crypto-friendly policy is being translated into concrete regulatory action even as legislation in Congress remains pending.