Agency Chairman Paul Atkins noted that the crypto market has evolved. However, regulatory rules are not keeping pace with its growth. In addition to self-custody, the SEC will allow state trust companies to act as custodians of clients’ crypto assets and regulated funds. This is important for asset managers and hedge funds that want to hold BTC and other crypto assets directly, outside of ETFs and other intermediaries.
At the same time, SEC Commissioner Hester Peirce emphasized that the changes apply to investment advisers, not investors directly. Meanwhile, Robinhood representatives say the SEC’s regulatory relief is too small given the industry’s growth. In particular, the company has nearly exhausted its limits on the volume and types of tokenized assets.