The AICPA has published a Q&A that explains recently released SEC staff guidance regarding the accounting for entities that have obligations to safeguard crypto-assets held for their platform users.
SEC staff released Staff Accounting Bulletin No. 121 after noticing an increase in the number of companies providing digital wallets and other services that require the protection of another party’s crypto-assets.
The AICPA first published nonauthoritative guidance on accounting for digital assets in 2019. Since then, the institute added nonauthoritative auditing and additional accounting guidance for digital assets. Learn more.