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  2. /Glossary
  3. /Crypto Custody Regulation
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Crypto Custody Regulation

Rules governing how institutions store and safeguard crypto assets on behalf of clients.

Definition

Rules governing how institutions store and safeguard crypto assets on behalf of clients. SEC's SAB 121 controversially required banks to list custodied crypto as liabilities on their balance sheets, discouraging bank custody. Its repeal or revision has been a major push by the crypto industry.

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Related Terms

Custody

Who holds and controls your crypto assets.

SAB 121

An SEC accounting bulletin that required banks to record crypto they custody as liabilities on their own balance sheets.

Compliance

Following the laws and regulations that apply to financial activities, including crypto.

Basis Point

One hundredth of a percentage point (0.

Bitcoin Treasury Strategy

A corporate strategy of using company treasury funds and debt to buy Bitcoin, popularized by MicroStrategy's Michael Saylor.

CBDC (Central Bank Digital Currency)

A digital form of a country's official currency issued and controlled by its central bank.

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