On February 14, a coalition of trade groups, including the Bank Policy Institute, American Bankers Association, Financial Services Forum, and Securities Industry and Financial Markets Association, sent a letter to SEC Chair Gary Gensler with a request. It highlighted the recently approved spot Bitcoin ETFs and noted the absence of American banks as custodians for these products.
The coalition requested that the SEC revisit and consider modifying the Staff Accounting Bulletin 121 (SAB 121), issued in March 2022, providing guidance on accounting for crypto asset custody obligations. They pointed out that it has been two years since the guidance issuance, and significant developments have occurred during this period, including the approval of spot Bitcoin ETFs.
