The U.S. SEC's Division of Trading and Markets has released new guidelines for the custody of crypto-asset securities.

According to Foresight News , the U.S. Securities and Exchange Commission's (SEC) Division of Trading and Markets issued a "Statement on Brokerage Firms' Custody of Crypto Asset Securities," clarifying the application of "physical possession or control" under Rule 15c3-3(b)(1) of the Securities Exchange Act in the context of "crypto asset securities." The statement says that the SEC will not object to recognizing a brokerage firm as having "physical possession" of the relevant assets in a client's account if the following conditions are met: direct access and the ability to transfer assets on-chain; establishing and implementing written policies to evaluate and continuously review the distributed ledger technology and network on which it relies; and possession is not recognized if significant security or operational issues or other significant custody risks are known.