SEC proposes crypto custody framework for investment advisers and regulated funds

The SEC has opened a 60-day consultation on how registered investment advisers, registered funds and BDCs may custody crypto assets. It would create a compliant pathway where none existed, permit self-custody in defined circumstances, and admit state trust companies as custodians. This segment covers what the proposal changes for advisers and funds and where the open questions sit before any final rule.

• SEC proposed a tailored crypto custody framework for registered investment advisers and regulated funds on October 1, 2026 (release 2026-100).
• The proposal would permit self-custody of crypto assets in certain circumstances and allow state trust companies to act as custodians for client and fund assets.
• The comment period remains open for 60 days following publication in the Federal Register; the measure is a proposal, not yet a rule.