“SAB 121 successfully precludes regulated banking organizations from providing digital asset custody at scale because it treats the property as if they’re owned reasonably than merely custodied by a banking group,” based on a letter to Biden on Friday, signed by a number of teams together with the American Bankers Affiliation and Monetary Companies Discussion board. “Establishments which can be pressured to document custodied digital property on steadiness sheet are subjected to increased capital, liquidity, and different prudential necessities, in contrast to their non-bank rivals.”
