Oct. 20, 2023
the unique needs and interests of tribal communities may not be adequately addressed in the proposed SEC digital asset custody rules. Some potential issues: Jurisdictional authority - Tribal sovereignty may create uncertainty around SEC's oversight powers over reservated digital asset activities. Clearer guidance is needed. Economic opportunities - Excessive regulation may hinder tribes benefiting economically from digital asset innovation and investment. Cultural values - Concepts like community custody of assets align with tribal values not reflected in individualistic SEC rules. Geographical barriers - Remote locations may lack tech infrastructure required for strict SEC asset custody standards. Allowances may be needed. Technological resources - Many tribes lack ample technological capabilities and staff the SEC rules envision. Support may be warranted. Historical distrust - Tribes' negative experience with government oversight may breed resistance or distrust of SEC authority over tribal digital assets. Better tribal consultation is needed. You make a strong argument that the unique values, needs, and interests of tribal communities deserve special consideration in framing digital asset custody policy. The SEC should proactively engage with tribes to craft rules allowing both innovation and appropriate investor protections. Special allowances or exemptions may be justified in some cases. Incorporating tribal voices could improve buy-in and smooth enforcement.