bt-crow.com Crypto-News
04 March 2022 09:46, UTC
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The US Securities and Exchange Commission (SEC) is considering new recommendations for investment advisors and companies regarding cryptocurrencies.
Director of Investment Management William Birdhistle, during a speech at the IAA Investment Adviser Compliance conference, noted that he was studying ways to “bring order” in the crypto industry.
“As far as investment advisors are concerned, I am aware of questions about how the provision of advice regarding cryptocurrencies affects compliance with the law, especially aspects of custody rules,” the official said.
Advisers are required by law to hold securities with qualified custodians. The latter, in effect, must be federally licensed or state-approved as a bank, trust, or brokerage firm. In the US, a similar status was given to, for example, the cryptocurrency companies Anchorage and Paxos.
Birdhistle said his department plans to consider public comments on broker-dealer activities in the digital currency space. The request was published by the regulator in August 2021.
“The growing opportunities to invest in securities directly through digital platforms such as robo-advisers, online brokerage houses, mobile apps and portals also pose challenges. I look forward to reviewing the recommendations in light of the comments we have received in this area,” added the head of the SEC division.
Recall that the regulator ruled out an amnesty for crypto companies that will independently report violations of securities laws.
#SEC #Rules #Crypto #Custodians