SEC just took its biggest step toward fixing crypto custody rules since the Biden-era attempt collapsed under industry pressure. This week, the agency submitted a revised proposal to the White House’s Office of Management and Budget for review — a preliminary but critical stage in the rulemaking process. If you hold crypto in any regulated account or plan to, this rule will directly affect how your assets are stored and who’s allowed to hold them.

What the Custody Rule Actually Covers

Let’s start with why this matters for you. Under existing SEC regulations, investment advisers — the firms that manage your money — must place client assets with a “qualified custodian.” That’s a chartered bank, a trust company, a…