Oct. 29, 2023
Thank you for allowing me to comment on this proposal by the SEC. I will keep my comments as relevant and to the point as I can, as I am sure you are to receive many comments. The SEC's proposal to expand application of it's rule from funds or securities to assets is clear overreach when it comes to cryptocurrency/digital assets. Many of these assets operate on decentralized networks and are not subject to centralized control like a traditional security. The SEC's proposal fails to recognize the unique characteristics of cryptocurrency/digital assets, like decentralization and "ownership" of private keys. Separate requirements specifically addressing crypto assets and custody should be considered to ensure fair and effective regulation. Applying traditional custody rules to crypto assets is inappropriate and ineffective in ensuring investor protection. The SEC should prioritize investor education and awareness regarding the risks and benefits of investing in crypto assets. Rather than imposing stringent regulations, empower investors with knowledge and resources.