The U.S. Securities and Exchange Commission (SEC) rescinded on Thursday accounting guidance long opposed by the cryptocurrency industry, an early move in President Donald Trump's pivot away from the policies of the prior administration and a win for the crypto sector.

The Securities and Exchange Commission reversed a controversial accounting rule Thursday, which had helped deter banks from participating in crypto services. Why it matters: The move to rescind the guidance,

The guidance was a major deterrent to Wall Street banks owning bitcoin. The rule was introduced in 2022 and subjected digital assets to strict capital requirements, significantly raising the financial and regulatory risks of offering crypto custody services.