SEC tightens custodial rules for digital assetsThe Securities and Exchange Commission (SEC) has imposed tighter rules on the custody of clients' assets in digital asset businesses to protect investors against misappropriation of assets as well as fraud. The revisions have three primary changes that will promote protection of digital asset investors, said the SEC. First, digital asset operators are strictly prohibited from using a client's assets, fiat money and digital assets for the benefit of another client or any other persons. Finally, digital asset business operators may not seek benefits from clients' fiat money, except from deposits with commercial banks. In the case of digital assets, seeking benefits for clients shall be prohibited, including deposit and lending to other persons, except in the form of digital asset investment with licensed digital asset fund managers.

Source: Bangkok Post March 03, 2022 04:57 UTC