SEC Crypto Custody Rule Overhaul Heads to White House for Review
The U.S. Securities and Exchange Commission has forwarded a proposed rule change governing how investment advisers custody digital assets to the White House for review. The move marks a concrete step in reshaping the regulatory framework around institutional crypto custody in the United States. The proposal's outcome could have direct implications for how registered advisers hold XRP and other digital assets on behalf of clients.
The SEC has transmitted a proposed amendment to its custody rules for investment advisers to the White House, advancing the rulemaking process to a new stage. The existing framework has long been a source of friction for firms seeking to offer digital asset management services, and a revised rule could clarify or expand the options available to regulated entities.
For XRP specifically, any change to how investment advisers are permitted to custody digital assets would affect institutions that hold or plan to hold XRP on behalf of clients. Clearer custody standards are widely regarded as a prerequisite for broader institutional participation in the XRP market.
The White House review stage typically precedes formal publication in the Federal Register, after which a public comment period would follow. The timeline to a final rule remains uncertain, but the transmission signals that the SEC is actively progressing the effort under the current regulatory posture.
This development sits alongside other ongoing regulatory shifts affecting digital assets, including the treatment of XRP following the Ripple litigation. A finalized custody rule that explicitly accommodates digital assets could reduce compliance ambiguity for advisers and custodians operating in the XRP ecosystem.
Key facts
- •SEC forwarded proposed crypto custody rule changes to the White House for review
- •The proposal targets rules governing how investment advisers hold digital assets
- •This step precedes formal Federal Register publication and public comment
- •Outcome could directly affect institutional custody of XRP