Proposed SEC Custody Rules Could Let Advisors Hold XRP Directly
A proposed SEC custody framework may reduce obstacles for investment advisors who want to hold XRP for clients, according to commentator Kamilah Stevenson. She says custody restrictions, rather than only doubts about crypto, have discouraged some advisory firms from offering digital assets. The proposal would clarify roles for state trust companies, limited self-custody, and brokerage custody for regulated funds, but it is not yet final.
Stevenson, a wealth commentator, discussed an October 1 proposal in a YouTube episode. It would let state trust companies act as crypto custodians, allow limited self-custody by advisors if no qualified custodian exists, and permit regulated funds to rely on brokerages. Audit rules would also be revised.
The plan remains draft and includes a 60-day comment window. Stevenson notes advisors oversee over $100 trillion overall, not a forecast for XRP inflows. She distinguishes ETF exposure from direct asset ownership, relevant to separately managed accounts, while suitability and operational approvals would still apply.
Clearer custody rules could affect financial advisors, their clients, custody providers, and regulated funds by making direct digital-asset ownership more operationally feasible. Clients seeking XRP exposure through separately managed accounts may gain options, while firms could face new compliance and audit work. Broader access may depend on final SEC requirements, suitability reviews, and demand, so social and market effects may be gradual rather than immediate.