SEC chief accountant: SEC's stance on rules restricting banks from providing crypto custody remains unchanged

Paul Munter, chief accountant of the Securities Exchange Commission (SEC), said the SEC's position on rules restricting banks from providing crypto custodial services remains unchanged. On September 9, Munter reiterated the views of SEC Staff Accounting Bulletin 121 (SAB121) at a bank meeting, emphasizing the need for Financial Institution Groups to record liabilities for custodial crypto assets on their balance sheets. Munter noted that while some arrangements do not comply with the guidelines, the SEC still believes that regulated Financial Institution Groups should not provide crypto custodial services.