A recent technical move by the SEC has unexpectedly sparked intense discussion throughout the cryptocurrency 1 the agency’s action was a staff-level decision rather than a sweeping rule change, it has opened a crucial door for institutional 2 Ripple and the XRP ecosystem, the implications are significant enough that many observers are calling the move outright 3 Changed: A Crucial SEC Clarification The SEC’s Division of Investment Management issued a no-action letter stating that investment advisers can now use state-chartered trust companies as “qualified custodians” for crypto 4 the Investment Advisers Act of 1940, advisers are required to safeguard client assets with a qualified custodian, traditionally, banks or nationally chartered trust 5 new guidance extends that recognition to state-chartered trust entities, provided advisers conduct proper due diligence and determine the arrangement is in the best interest of their clients.
BOOM! Ripple ( $XRP ) just got recognized as a qualified 6 under new SEC staff guidance Alongside Coinbase, BitGo, and 7 gates are opening. Banks, funds, institutions, come on 8 ON $XRP ! LFG! 0 — X Finance Bull (@Xfinancebull) September 30, 2025 This adjustment may sound narrow, but it resolves a longstanding point of 9 trust companies were not universally accepted as eligible custodians for crypto, leaving many advisers in 10 SEC staff has now offered clarity, reducing friction for custody arrangements without compromising investor 11 Benefits: Ripple Among the Recognized Custodians The immediate winners from this clarification are firms that already operate state-chartered trust 12 Custody, BitGo Trust, and Ripple’s Standard Custody & Trust Company now fall squarely within the definition of acceptable 13 entered this space through its acquisition of Standard Custody, giving the company a direct foothold in the 14 custody 15 this recognition, Ripple is now on the same regulatory footing as other established players, a milestone that industry observers believe could dramatically expand its institutional 16 It Matters: Unlocking Institutional Flows For institutions, custody is not optional — it is the regulatory gatekeeper for market 17 investment advisers, funds, and exchange-traded products cannot hold crypto assets without a qualified 18 are on X, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) June 15, 2025 By explicitly acknowledging state-chartered trust companies, the SEC staff has effectively widened the pool of service providers, creating a clearer path for institutions to custody crypto assets at 19 is why commentators like X Finance Bull highlighted Ripple’s position, framing the development as “bullish” for 20 Standard Custody under its wing, Ripple now sits among the limited set of firms positioned to serve as custodians for institutional crypto 21 recognition strengthens its infrastructure role in the 22 and could accelerate 23 Caveats: Guidance, Not a Green Light It’s essential to note that the SEC’s move is staff guidance, not a new law or blanket 24 still carry the responsibility of vetting custodians and ensuring client 25 SEC can also revisit or refine its 26 development removes uncertainty, making it easier for institutions to engage, but it doesn’t automatically grant Ripple or other custodians a 27 Bottom Line The SEC’s no-action letter may not grab headlines like a landmark court ruling, but its practical effects are 28 custody barriers gives firms like Ripple a clearer runway to serve institutional 29 development is a significant acknowledgment of XRP’s legitimacy in the U.
S. market, leading many, including X Finance Bull, to view it as a major bullish signal for Ripple and 30 : This content is meant to inform and should not be considered financial 31 views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s 32 are urged to do in-depth research before making any investment 33 action taken by the reader is strictly at their own 34 Tabloid is not responsible for any financial 35 us on Twitter , Facebook , Telegram , and Google News
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