Crypto custody at the SEC

Custody professionals showed up Friday at the SEC to urge the agency to create principled regulations around the business of safeguarding digital assets, while also urging it not to specify technological solutions.
Why it matters: Digital assets are bearer instruments, and the industry has had a lot of failures in terms of keeping those bearer instruments safe.
Between the lines: Custody is the core idea of cryptocurrency.
Before Bitcoin, there was no way for an individual to hold value digitally on their own.
The big picture: Very few investors want to hold these assets themselves, however. Especially gigantic, heavily regulated investors.
Between the lines: The fact that not all digital assets are under the SEC's purview is going to complicate rulemaking: The SEC only has authority over securities, and it looks likely that very few digital assets will be securities in the end.
Which could mean that there's two different rules for safeguarding assets that — from a custodian's perspective — are basically the same.
Friction point: One issue that seemed to spark some dispute on the panel was how customer assets should be segregated. They could have all the funds mixed but the separate amounts logged in off-chain accounts, or they could constantly rebalance between thousands of individual wallets.
Mark Greenberg, Kraken vice president, argued that mixing is less prone to security lapses. "The less crypto moves around, the less people have to approve things [and] move it around the better."
Though others pointed out that this raises issues with dealing with the external world.
What we're watching: Only one panelist was there to speak for self-custody, the concept invented with Bitcoin, where a person can steward their own assets.

Try Our AI Features

Explore what Daily8 AI can do for you:

Learn with AIFact CheckingText to SpeechAI Summary

Related Articles

New York Post

an hour ago

• New York Post

How to buy Bitcoin anonymously in 2025

The New York Post may receive revenue from affiliate/advertising partnerships for sharing this content and/or if you click or make a purchase. Privacy-minded cryptocurrency buyers can follow some best practices to buy and store their Bitcoin anonymously, as long as they're careful to follow local laws. The price of Bitcoin has surged to more than $106,000 as of early June, making investors with significant holdings a ripe target for scammers and thieves. Buyers have a strong incentive to keep a low profile online and use secure, privacy-minded tools like the Best Wallet Anonymous Bitcoin Wallet to store their assets. At the same time, state and federal governments — as well as tax agencies like the IRS — are increasingly focused on regulating crypto transactions. It's crucial to follow all tax reporting obligations to avoid penalties. 'The desire for personal financial privacy is legitimate and justifiable — especially in an era of growing financial surveillance — but there is a distinction between privacy-preserving behavior and unlawful evasion,' said Peter C. Earle, senior economist at the American Institute for Economic Research. 'Buying Bitcoin without verification is legally fraught in many jurisdictions, and doing so anonymously could lead to legal and tax problems,' Earle added. The guide below provides tips and best practices on how to buy and store Bitcoin while minimizing the exposure of your personal information. Are You Crypto Curious? How to start crypto trading today Best Wallet Download the Best Wallet app from the App Store or Google Play. Create an account using just your email — no ID required. Fund your wallet with crypto or other methods — most don't require KYC. Buy Bitcoin instantly and store it securely and privately in Best Wallet. Swap, sell, or stake your Bitcoin (BTC) — all within the Best Wallet app. LEARN MORE Platforms that allow peer-to-peer transactions are one option, according to Earle. These platforms let 'users trade Bitcoin without relying on centralized custody or identity verification, typically by matching buyers and sellers who agree on payment methods such as bank transfers, cash deposits, or in-person exchanges,' he said. That said, due diligence is essential. Only engage in transactions with trusted parties, and avoid deals that seem too good to be true. Some regions still have Bitcoin ATMs that allow withdrawals without ID verification, though they often come with strict withdrawal limits. But even when using privacy-friendly methods, it's important to remember: all Bitcoin transactions are recorded on a public ledger. 'It's technically impossible to be completely anonymous with blockchain, as every transaction, on every chain, is tracked,' said Matthew Ruley, director of content at crypto information site Dypto Crypto. REUTERS Not if you care about anonymity. Experts strongly advise against it. 'Never use a credit card, PayPal, or anything similar if you want to buy Bitcoin anonymously,' said Kadan Stadelmann, CTO of Komodo. 'These platforms are built to track every transaction and already hold your full identity. Using them is like handing over your passport with your purchase.' Also no. PayPal accounts are directly tied to personal identifying information, making them incompatible with any form of private crypto purchase. Yes. Physical cash remains the most anonymous option, more so than crypto itself, since all blockchain transactions are inherently traceable. 'Yes, cash remains the most anonymous way to purchase anything, despite the reputation Bitcoin has gained for this, because all crypto transactions are recorded on the blockchain,' said Nic Puckrin, industry analyst and founder of Coin Bureau. In Canada, more people are exploring how to buy and sell bitcoin, whether as a speculative asset, long-term investment, or gateway to the broader crypto economy. Getty Images For users who want a more secure and less invasive option without fully abandoning digital convenience, tools like Best Wallet can help. With no ID required to set up an account and support for funding via crypto, debit/credit cards, or Apple Pay (with no KYC for most funding methods), Best Wallet lets users buy and manage BTC more discreetly. Yes, in some cases. Peer-to-peer platforms and Bitcoin ATMs in certain regions may allow purchases without identity checks. However, limits often apply, and legal risks vary by jurisdiction. Tools like Best Wallet Anonymous Bitcoin Wallet allow users to create an account without ID and offer private in-app BTC transactions. However, blockchain activity is still publicly visible. It depends on the method and amount. Buying small amounts with cash from another person may be legal, but larger anonymous purchases or those intended to evade taxes may violate federal law. Buying without Know Your Customer (KYC) verification may increase your exposure to scams, limited consumer protections, and legal penalties, depending on your location and transaction amount. New York Post Approved Our No. 1 Pick Best Wallet The Best Wallet app puts security first with biometric logins, two-factor authentication, and full non-custodial control — so you hold your keys, not just your coins. With support for thousands of altcoins across 60+ blockchains, it pairs top-tier security with powerful, user-friendly tools — making it the safest, most innovative way to HODL, swap, and manage your crypto. Learn More 108M+ Users Worldwide Coinbase Coinbase is building a more inclusive financial future for over a billion people, enabling them to trade, stake, spend, and transfer crypto on a secure and trusted platform. It powers the on-chain economy with essential infrastructure, global access, and a commitment to fair, responsible innovation. Learn More 114.9% BTC Reserve Ratio Kraken Kraken takes crypto security seriously, with FIDO2-compliant Passkey logins, encrypted communications, and customizable API permissions that keep your account firmly in your control. With no phone-based recovery, time-locked global settings, and real-time threat monitoring, it's built to protect your assets at every layer. Learn More $232B Platform Assets Robinhood Robinhood Crypto offers a user-friendly platform for trading and transferring digital assets, including the ability to securely and easily send and receive crypto to and from external wallets. With its self-custody Robinhood Wallet, it manages crypto holdings across multiple blockchains, including Ethereum, Bitcoin, and Solana. Learn More 20% of Global Crypto Secured Ledger Ledger is a leading provider of secure hardware wallets, offering devices like the Ledger Nano X and Ledger Stax that protect private keys offline using industry-leading Secure Element chips and a proprietary operating system. Paired with the Ledger Live app, manage over 5,500 digital assets, including cryptocurrencies and NFTs. Learn More 100M+ Users & Growing lets you buy, sell and trade over 400 cryptocurrencies, including Bitcoin and Ethereum, with zero-fee USD deposits, wire, and Apple/Google Pay. With a user base exceeding 140 million, the platform gives advanced trading options, a self-custodial wallet through Onchain, and industry-leading security certifications. Learn More $53T+ in Transactions Uphold Uphold is a multi-asset trading platform that enables users to buy, sell, and swap over 360 cryptocurrencies, 27 fiat currencies, and four precious metals, all in a single step. With features like assisted self-custody via the Uphold Vault, staking rewards up to 16.8%, and real-time reserve transparency, it offers a secure and versatile experience for both beginners and seasoned investors. Learn More The New York Post may receive revenue from affiliate/advertising partnerships for sharing this content and/or if you click or make a purchase.

Yahoo

3 hours ago

• Yahoo

2 Cryptocurrencies to Buy Now Before They Soar 140% and 580%, According to a Wall Street Analyst

Geoffrey Kendrick at Standard Chartered expects XRP to overtake Ethereum as the second most valuable cryptocurrency by 2028. David Puell at Ark Invest thinks Bitcoin can reach $710,000 by 2030 as more institutional investors and companies buy the cryptocurrency. Anyone uncomfortable with volatility should avoid cryptocurrencies, and investors should never anchor to Wall Street's price targets. 10 stocks we like better than XRP › XRP (CRYPTO: XRP) and Bitcoin (CRYPTO: BTC) advanced 565% and 410%, respectively, in the last three years. But certain Wall Street analysts expect the cryptocurrencies to climb even higher in the next few years: Geoffrey Kendrick at Standard Chartered says XRP will top Ethereum by 2028. At current prices, XRP must climb 140% to $5.10 to surpass Ethereum's market value of $302 billion. David Puell at Ark Invest expects Bitcoin to hit $710,000 by 2030. That implies about 580% upside from its current price of $104,000. Here's what investors should know about XRP and Bitcoin. The investment thesis for XRP centers on its ability to facilitate fast and cheap cross-border transactions. It is the native digital asset on the XRP Ledger, a blockchain created by fintech company Ripple to disrupt SWIFT (Society for Worldwide Interbank Financial Telecommunications), the system banks generally use to send money internationally. XRP transactions settle in seconds and cost a fraction of a cent, but SWIFT transactions may not settle for days and often incur larger fees. Yet, very few financial institutions have adopted XRP as a bridge currency to facilitate cross-border payments. I doubt that will change in the future, because cryptocurrency prices are volatile. Why send money as XRP when its price could plunge in a very short period? However, fast and inexpensive transactions mean that the XRP Ledger is also ideal for tokenized assets, a market that will hit $19 trillion by 2030, according to Ripple. Tokenized assets are real-world assets represented as digital tokens on a blockchain. For instance, Guggenheim Treasury Service recently tapped the XRP Ledger to issue digital commercial paper, a fixed-income security. Greater adoption of the XRP Ledger increases demand for the native cryptocurrency, XRP, which could make the token more valuable over time. However, I see a bigger catalyst in the pending approval of several spot XRP ETFs. Bitcoin has gained 125% since the approval of spot Bitcoin ETFs in 2024, and XRP could see similar price appreciation. The investment thesis for Bitcoin centers on its status as digital gold. Investors see the cryptocurrency as a hedge against inflation and the devaluation of fiat currencies like the U.S. dollar. In fact, the U.S. Dollar Index has declined 10% year to date, but Bitcoin has advanced 13%. That trend is likely to continue in the years ahead because, unlike fiat currencies, Bitcoin supply is limited. Importantly, institutional investors are increasingly comfortable owning Bitcoin. Forms 13F filed for the first quarter indicate that the number of large asset managers (with $100+ million in securities) with positions in the two most popular spot Bitcoin ETFs -- the iShares Bitcoin Trust and the Fidelity Wise Origin Bitcoin Fund -- more than tripled in the past year. Meanwhile, many companies are adding Bitcoin to their balance sheets. Strategy (formerly MicroStrategy) has essentially turned itself into a Bitcoin investment vehicle. It owns 582,000 BTC, purchased at an average price of $70,086, and it plans to invest another $56 billion through 2027. Other companies are following the same playbook, including Mara and Semler Scientific. Here's the bottom line: XRP and Bitcoin could be worth much more in the future due to the catalysts outlined above, But neither is a wise investment for anyone uncomfortable with extreme volatility, and investors should never anchor to price targets set by Wall Street. Finally, between the two, I would choose Bitcoin in a heartbeat because it has the distinct advantage of being the largest, most liquid, and best known cryptocurrency. Additionally, spot Bitcoin ETFs make it easy to get Bitcoin exposure. The same cannot be said (yet) about XRP. Before you buy stock in XRP, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and XRP wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $659,171!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $891,722!* Now, it's worth noting Stock Advisor's total average return is 995% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Trevor Jennewine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin, Semler Scientific, and XRP. The Motley Fool recommends Standard Chartered Plc. The Motley Fool has a disclosure policy. 2 Cryptocurrencies to Buy Now Before They Soar 140% and 580%, According to a Wall Street Analyst was originally published by The Motley Fool

Business Insider

5 hours ago

• Business Insider

TruGolf to Participate in the '2025 Virtual Tech Conference: Discover the Innovations Reshaping Tomorrow' Conference Presented by Maxim Group LLC on Wednesday, June 4th at 3:00 PM EDT - (Updated)

Salt Lake City, Utah, June 03, 2025 (GLOBE NEWSWIRE) -- TruGolf Holdings, Inc. (NASDAQ: TRUG), a leading golf technology company, announced today that Brenner Adams, TruGolf's Chief Growth Officer will present at the '2025 Virtual Tech Conference: Discover the Innovations Reshaping Tomorrow,' presented by Maxim Group LLC, tomorrow, June 4 th at 3:00 PM EDT. The Conference will be live on M-Vest. To attend, follow this link to register for this virtual event. About TruGolf Holdings TruGolf is a golf technology company, committed to making golf, easy. From innovative uses for AI to build content and enhance its image and spatial analysis, to gamified golf improvement plans, TruGolf is an industry leader in the growing technological revolution in the sport of golf. Since its founding, TruGolf has redefined what is possible in golf through technology. TruGolf's suite of Hardware, Software, and Web Products make it easier to Play, Improve, and Enjoy the game of golf. Forward-Looking Statements Some of the statements in this release are forward-looking statements, which involve risks and uncertainties. Forward-looking statements include, without limitation, whether the Company's compliance plan will be accepted by Nasdaq and the Company's expected future cash needs. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or implied by such forward-looking statements. The Company has attempted to identify forward-looking statements by terminology including ''believes,'' ''estimates,'' ''anticipates,'' ''expects,'' ''plans,'' ''projects,'' ''intends,'' ''potential,'' ''may,'' ''could,'' ''might,'' ''will,'' ''should,'' ''approximately'' or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors. Any forward-looking statements contained in this release speak only as of its date. The Company undertakes no obligation to update any forward-looking statements contained in this release to reflect events or circumstances occurring after its date or to reflect the occurrence of unanticipated events. More detailed information about the risks and uncertainties affecting the Company is contained under the heading "Risk Factors" in the Company's Annual Report on Form 10-K and subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the SEC, which are available on the SEC's website,