A16z has submitted a response to the Securities Exchange Commission (SEC) Crypto Working Group regarding custody of crypto assets. In a letter to Securities Exchange Commission Commissioner Hester M. Peirce, a16z emphasized the importance of establishing a clear and practical regulatory framework for the custody of crypto assets by Registered Investment Advisers (RIAs). They advocate for the U.S. SEC to provide new guidance to facilitate custody arrangements for crypto assets, and suggest that such guidance should focus on the unique characteristics of these assets, promoting innovation while ensuring investor protection. Additionally, a16z outlined broad principles they believe crypto custody regulatory structures should follow, designed to balance security needs with the flexibility needed for technological advancements.