SEC Chief Accountant: SEC's Position on Restrictions for Banks Offering Crypto Custody Services Remains Unchanged

ChainCatcher news, SEC Chief Accountant Paul Munter stated that the SEC's position on restricting banks from providing crypto custody services remains unchanged.

On September 9, Munter reiterated the views of SEC Staff Accounting Bulletin No. 121 (SAB 121) at a banking conference, emphasizing that financial institutions need to record liabilities for custodial crypto assets on their balance sheets. Munter pointed out that although some arrangements do not comply with the standard, the SEC still believes that regulated financial institutions should not provide crypto custody services.

ETF Store President Nate Geraci stated on the X platform, "The SEC's position on SAB 121 seems to be unwavering. They are clearly unwilling to allow regulated financial institutions the ability to custody cryptocurrencies."