Core Viewpoint - The U.S. Securities and Exchange Commission (SEC) has indicated it will not take enforcement action against registered investment advisors and crypto fund issuers for using state-chartered trusts to hold digital assets, signaling a shift towards a more accommodating regulatory environment for the crypto industry [1][4]. Group 1: SEC Guidance and Implications - The updated guidance from the SEC's Division of Investment Management allows more organizations, including affiliates of major crypto firms like Coinbase and Ripple, to act as custodians for digital assets [2]. - The SEC's letter clarifies that as long as certain criteria are met, registered advisors and regulated funds can treat state trust companies as banks for the custody of crypto assets and related cash [3]. - This marks a departure from the previous regulatory stance under former Chair Gary Gensler, who aimed to restrict the types of organizations that could hold digital assets [4]. Group 2: Regulatory Framework and Responsibilities - The Investment Advisers Act of 1940 mandates that advisors must maintain client assets with qualified custodians, which crypto advocates have leveraged to broaden crypto initiatives [5]. - Although the SEC's letter does not constitute a formal rule, it emphasizes that advisors must ensure registered trusts are authorized by banking authorities to provide crypto custody services and have adequate policies for asset protection [5]. - Custodial agreements must stipulate that trusts cannot use client funds without consent and that crypto assets will be kept separate from the trust's own assets [6].

Digital asset infrastructure firm BitGo announced that its European subsidiary has received an extended license from Germany’s BaFin, allowing it to offer crypto custody, staking, transfer, and regulated trading services. BitGo had already obtained a MiCA license from BaFin in May 2025. According to Statista, Europe’s crypto market revenue is expected to reach $26 billion in 2025, with Germany leading regional adoption.https://t.co/fOsZMuaLH7 ...

Group 1 - Ripple has entered into an agreement with BBVA to provide institutional-grade digital asset custody technology to support the bank's crypto operations [1][2] - BBVA will utilize Ripple Custody to manage Bitcoin (BTC) and Ether (ETH) holdings for retail customers in Spain, following the bank's earlier launch of a digital asset trading and custody service [2][8] - The partnership builds on previous collaborations between Ripple and BBVA in Switzerland and Turkey, focusing on real-time cross-border payments [3][8] Group 2 - The establishment of the EU's Markets in Crypto-Assets regulation (MiCA) has encouraged banks in Europe, including BBVA, to expand their digital asset offerings [4][6] - Other banks in Europe, such as Deutsche Bank and Standard Chartered, are also advancing their crypto custody services, indicating a broader trend in the region [5] - Ripple's expanded role with BBVA highlights the integration of crypto services by regulated financial institutions, emphasizing the need for compliance and scalability in a post-MiCA environment [6]

Financial services giant @USBank has restarted its crypto custody operations after pausing the service for years due to regulatory uncertainty. https://t.co/sJl7la3r4N ...

Dig into the Fed guidance on crypto custody and what it means + catch up on a busy day of newshttps://t.co/XojivPZIQW ...

POLICY🏛️: U.S. Regulators Speak on Crypto Custody, But No New Policy, Just a Statement 🇺🇸Report by @jesseahamilton ...

BREAKING:🇩🇪 $1 TRILLION DEUTSCHE BANK TO LAUNCH BITCOIN AND CRYPTO CUSTODY BY 2026. https://t.co/cyi2O6w7ol ...