The U.S. SEC Division of Trading and Markets Issues Staff Statement on Broker-Dealer Custody of Crypto Asset Securities

Jinse Finance reported that the US SEC Division of Trading and Markets has issued a staff statement regarding broker-dealer custody of crypto asset securities. The statement says that, under the following measures taken by broker-dealers, the Division will not object to broker-dealers treating crypto asset securities held for customer accounts as being in "physical possession or control" pursuant to Rule 15c3-3(b)(1). These measures include: Access and transferability of crypto asset securities; Assessment of the characteristics of distributed ledger technology for crypto asset securities; Suspension of crypto asset securities custody services due to security or operational issues; Private key protection measures; Measures to ensure the continued proper custody and accessibility of crypto asset securities in the event of an interruption.