SIFMA Statement on Rescission of SEC Staff Accounting Bulletin 121

Washington, D.C., January 24, 2025 – SIFMA today issued the following statement from SIFMA president and CEO Kenneth E. Bentsen, Jr. on the rescission the SEC’s Staff Accounting Bulletin (SAB) 121:

“SIFMA commends the SEC for the rescission of Staff Accounting Bulletin (SAB) 121. SAB 121 fundamentally changed the way financial institutions are expected to account for the custody of digital assets, and the SEC originally issued the SAB without stakeholder engagement or consultation with the prudential regulators. The rescission will benefit investors, financial markets, and the broader public by restoring the ability of well-regulated financial institutions to provide digital asset custodial services.”

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SIFMA is the leading trade association for broker-dealers, investment banks and asset managers operating in the U.S. and global capital markets. On behalf of our industry’s one million employees, we advocate on legislation, regulation and business policy affecting retail and institutional investors, equity and fixed income markets and related products and services. We serve as an industry coordinating body to promote fair and orderly markets, informed regulatory compliance, and efficient market operations and resiliency. We also provide a forum for industry policy and professional development.  SIFMA, with offices in New York and Washington, D.C., is the U.S. regional member of the Global Financial Markets Association (GFMA).