According to paulgrewal.eth, the SEC has officially rescinded all unfinished Gensler rule proposals, including 3b16 and the qualified custodian requirements (source: @iampaulgrewal, June 12, 2025). This regulatory rollback removes pending restrictions that would have tightened oversight of crypto custodians and digital asset markets. The decision is expected to reduce compliance burdens for crypto exchanges and institutional investors, potentially increasing liquidity and market participation in the short term. Traders should monitor for increased volatility and renewed activity in regulated crypto assets as the policy shift may signal a more favorable environment for digital asset firms.