  Soft Gamma-ray Repeaters (SGRs) are among the most enigmatic sources known
today. Exhibiting huge X- and Gamma-ray bursts and flares, as well as soft
quiescent X-ray emission, their energy source remains a mystery. Just as
mysterious are the Anomalous X-ray pulsars (AXPs), which share many of the same
characteristics. Thanks to recent Chandra observations, SGR 0526-66, the first
SGR, now appears to be a transition object bridging the two classes, and
therefore observations of it have implications for both SGRs and AXPs. The two
most popular current models for their persistent emission are accretion of a
fossil disk or decay of an enormous (~10^15 G) magnetic field in a magnetar. We
show how deep optical observations of SGR 0526-66, the only SGR with small
enough optical extinction for meaningful observations, show no evidence of an
optical counterpart. These observation place strong new constraints on both
accretion disk and magnetar models, and suggest that the spectral energy
distribution may peak in the hard-UV. Almost all accretion disks are excluded
by the optical data, and a magnetar would require a ~10^15-10^16 G field.
