SEC tilts crypto friendly
The SEC is publicly moving toward crypto-friendly policy-making under this administration — a signal likely to generate more client questions about digital-asset allocations, custody, and regulatory risk. (nytimes.com)
On March 17, 2026 the SEC published Release No. 2026‑30 (S7‑2026‑09), an interpretive release that establishes a token taxonomy and clarifies how the federal securities laws apply to certain crypto assets and transactions. (sec.gov). (sec.gov) The SEC and the CFTC signed a Memorandum of Understanding on March 11, 2026 to coordinate supervision and launched a Joint Harmonization Initiative intended to reduce overlapping enforcement and examination risk across agencies. (sec.gov). (sec.gov) The Division of Examinations’ FY‑2026 priorities, published Nov. 17, 2025, removed a standalone “crypto” section and refocused exam attention on fiduciary duty, custody and AI‑related risks rather than industry‑specific crypto sweeps. (sec.gov). (sec.gov) The interpretive release explicitly addresses airdrops, protocol mining, staking and wrapping and gives examples of assets the Commission views as digital commodities rather than securities, language the Commission says will be published in the Federal Register. (sec.gov). (sec.gov) SEC staff custody guidance issued last year — including a Sept. 30, 2025 no‑action letter and related staff statements — allows state trust companies to serve as qualified custodians for crypto assets when firms perform due diligence, review audited financials and obtain SOC‑1/SOC‑2 reports. (mofo.com). (mofo.com) Pre‑retiree and retiree client conversations will hinge on custody & segregation facts now memorialized in staff guidance and the SEC’s March interpretive release, as the custody rule analysis has shifted depending on whether assets are classified as securities or commodities. (sec.gov). (sec.gov) Young professionals and families will see expanded retail product talk after the joint release and accompanying industry commentary noting the 68‑page interpretive document and its potential to clear the path for broader ETF and institutional product pipelines. (forbes.com). (forbes.com) High‑net‑worth and institutional prospects face a reduced dual‑regulation risk following the SEC‑CFTC harmonization framework, a shift legal advisers characterize as improving clarity for allocations, custody arrangements and due‑diligence standards. (sidley.com). (sidley.com)
