• The U.S. SEC voted to propose a regulatory change that could require exchanges to store user assets with qualified custodians.
• Coinbase and other crypto custody providers asserted on Feb. 15 that they will be able to operate under proposed changes to custodial rules.
• Coinbase, BitGo, and Anchorage all said they are „confident“ they will remain qualified custodians under the changes.
Proposed Rule Change
The U.S. Securities and Exchange Commission (SEC) recently voted to propose a regulatory change that could require exchanges to store user assets with qualified custodians. This would also update rules for custodians, possibly making it difficult for existing crypto companies to offer custody services.
Coinbase Reassures Clients
Coinbase chief legal officer Paul Grewal stated on Twitter that his company is „confident“ that it will remain a qualified custodian under the proposed rule change, endorsing the SEC’s efforts in providing investor protections and supporting the public rulemaking process. In an interview with CNBC, Grewal noted how Coinbase has „a very diversified business“ in services and countries served, implying that the company could shift its focus elsewhere if needed.
Other Companies Comment
BitGo — the next largest provider of crypto custody services after Coinbase — similarly reassured its clients of remaining a qualified custodian via Twitter as well as Anchorage in a statement issued to Coindesk today saying they are „unequivocally“ a qualified custodian and should be able to operate under the proposed rules.
High Requirements
The proposed regulatory change would raise requirements for companies offering self-custody solutions such as those provided by Coinbase or BitGo which must adhere strictly to certain standards set out by regulators when storing customer funds or assets while ensuring complete transparency throughout their operations at all times in order to remain compliant with regulations set forth by governing bodies such as the SEC or FINRA when it comes to custody services provided by these firms within US jurisdiction and abroad through international operations branches associated with these firms respective organizations where applicable in each case depending on local laws & regulations applicable at any given time & place on behalf of customers & users from around world seeking access & use of these services respectively .
Conclusion
In conclusion, while there is no way of knowing what exactly will happen once this proposal becomes law, both Coinbase and other crypto custody providers have expressed confidence that they can continue operating without disruption despite potential changes being made regarding self-custody solutions offered by them or other similar firms providing such services across industry sector for customers worldwide looking for secure storage solutions for digital asset holdings safely managed by reliable third party entities capable of doing so according available options present at any given time within marketplace currently available today .