Investment Management partner Kris Swiatek was quoted in an AdvisorHub article titled, “Crypto’s Renewed Relevance For Wealth Management: Is Your Firm Prepared?”

Kris’ commentary can be found below:

The shifting U.S. stance on crypto investing is welcome news for wealth management firms eager to explore this asset class. However, regulatory clarity is still a work in progress. As Commissioner Peirce noted, the SEC awaits Mr. Atkins’ confirmation as chair to lead the agenda, leaving key questions — such as whether crypto tokens are securities and how firms can custody them unresolved.

This uncertainty doesn’t mean firms can’t execute direct crypto strategies, but compliance remains an uphill battle. Existing challenges, including ethical considerations and custodial arrangements, require careful analysis. The good news? The SEC’s crypto task force is already addressing these concerns.

In the meantime, firms should focus on two key areas. First, they should develop policies to identify clients for whom crypto exposure is appropriate, factoring in volatility and liquidity risks. Second, they can offer indirect exposure through exchange-traded products, assessing whether BTC and ETH investments align with clients’ needs.

Additionally, firms should start crafting policies for direct crypto offerings, especially for strategies beyond spot investing. Preparing now ensures they’ll be ready to act when regulatory clarity improves. With the right approach, firms can navigate the evolving landscape and position themselves for long-term success in digital assets.

Click here to read the full article.

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Kris Swiatek

(212) 574-1670
swiatek@sewkis.com

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