The SEC on Thursday proposed rules for how registered investment advisers (RIAs) and regulated funds can hold crypto. The goal is a compliant route for money managers who want crypto exposure, since today’s custody rules weren’t built for it.

• New custodians: State-chartered trust companies could hold crypto for adviser clients and funds. That widens a field where qualified options have been thin for some assets.

• Limited self-custody: Advisers could hold client crypto themselves in certain cases, like when no approved custodian is available. As Commissioner Hester Peirce pointed out, this means the adviser acting as custodian, not individuals holding their own keys.

• 180 from 2023: Gensler’s SEC…