According to TechFlow, on September 20, Un Chained Crypto reported that Bank of New York Mellon (BNY), the largest custodian bank in the United States, was confirmed as the first bank to obtain an exemption from the SAB 121 crypto accounting standards of the U.S. Securities and Exchange Commission (SEC). The news was disclosed at a public hearing of the Wyoming Special Committee on Blockchain, Fintech and Digital Innovation Technology.
“Bank of New York Mellon was looking to get deeply involved in the crypto custody business, and they were having some issues with SAB 121, and the SEC had given them some sort of exemption to move forward,” Chris Land, general counsel to U.S. Senator Cynthia Lummis, said in testimony.
Earlier, SEC Chief Accountant Paul Munter revealed that the agency has granted some entities SAB 121 exemptions, mainly for entities that meet certain conditions. SAB 121 requires entities that custody crypto assets to list these assets on their balance sheets and create corresponding liabilities of equivalent value.