Galaxy Digital has highlighted a structural conflict between U.S. SEC custody rules and the needs of DeFi investors. In a recent post, Galaxy noted that many Registered Investment Advisors (RIAs) face challenges in meeting client demands for DeFi allocations due to regulatory requirements. The SEC's rules mandate that client assets be held with qualified custodians, which excludes self-custody options and complicates direct participation in DeFi strategies for traditional financial accounts.