BNY received exemption from SEC’s rules for crypto custody, Unchained says

BNY Mellon (BK) was identified during public testimony in Wyoming’s Select Committee on Blockchain, Financial Technology, and Digital Innovation Technology as having received a “variance” from following the SEC’s SAB 121 accounting guidelines for its institutional crypto custody business, according to Unchained’s Jason Brett. In what “would be a huge breakthrough for banks looking to dive into the institutional crypto custody business,” Chris Land, general counsel for U.S. Senator Cynthia Lummis, testified that the SEC, and thus likely other regulators, have cleared the way for BNY to provide institutional custody of digital assets, the report stated. Coinbase (COIN) provides crypto custody services and could see increased competition should more traditional banks start participating in crypto.