Dear Securities and Exchange Commission, I am writing to express my concerns regarding the "Safeguarding Advisory Client Assets" proposal. While I appreciate the objective of enhancing investor protections and addressing gaps in the custody rule, I find that there are several issues that need to be addressed to ensure fair treatment of different types of digital assets. Specifically, my concern lies with the unequal treatment of different types of digital assets. The proposed rules seem to treat these assets inconsistently, leading to confusion and potential regulatory arbitrage. It is important to have clear and consistent guidelines for the treatment of digital assets to avoid creating an uneven playing field and hindering innovation in the industry. One aspect that is particularly confusing is the reporting requirements for participants in decentralized finance (DeFi). The proposed regulations create reporting requirements for various participants in the DeFi ecosystem. However, this approach may result in multiple, inconsistent reports being generated for the same transaction. This not only adds unnecessary complexity but also increases the compliance burden for participants in the DeFi space. To address this concern, it is crucial that the SEC considers the unique characteristics of digital assets and develops regulations that can adapt to the ever-evolving landscape of the cryptocurrency industry. This could involve working closely with industry experts and stakeholders to gain a more comprehensive understanding of the technology and its implications. Furthermore, it is essential to strike a balance between investor protections and the need to foster innovation. The proposed rules should aim to create a regulatory framework that enables the growth of the digital asset industry while ensuring adequate safeguards for investors. This can be achieved by exploring alternative approaches and accommodating the unique nature of digital assets within the framework of existing regulations. In closing, I urge the SEC to carefully consider the implications of the proposed rules on the treatment of different types of digital assets. It is vital to create a regulatory environment that promotes fairness, clarity, and equal treatment for all participants in the cryptocurrency industry. By doing so, we can foster innovation, ensure investor protection, and bring about a thriving digital asset ecosystem. Thank you for considering my comments. Sincerely, Anonymous