Michaela
Summary: What did the SEC say about liquid staking?
The SEC clarified that certain liquid staking activities do not count as securities offerings. This means participants donāt have to register them under current securities laws. The decision reflects an effort to provide clearer rules for crypto-related activities.
The U.S. Securities and Exchange Commission (SEC) has clarified that certain cryptocurrency liquid staking activities are not considered securities offerings, signaling a step toward clearer regulatory guidance for the digital asset industry.
In an official statement, the Commissionās Division of Corporation Finance noted that, depending on specific facts and circumstances, the liquid staking activities addressed in the guidance do not constitute an offer or sale of securities. The agency cited relevant provisions of the Securities Act of 1933 and the Securities Exchange Act of 1934 to support its position.
āIt is the Divisionās view that participants in Liquid Staking Activities do not need to register with the Commission transactions under the Securities Act, or fall within one of the Securities Actās exemptions from registration in connection with these Liquid Staking Activities,ā the Commission stated.
Related: Judge Allows Insider Trading Lawsuit Against Coinbase Execs
The SEC described liquid staking as the practice of locking digital assets through a protocol in exchange for a receipt token that represents the stakerās interest or ownership in those assets.
āUnder my leadership, the SEC is committed to providing clear guidance on the application of the federal securities laws to emerging technologies and financial activities,ā SEC Chairman Paul Atkins said. āTodayās staff statement on liquid staking is a significant step forward in clarifying the staffās view about crypto asset activities that do not fall within the SECās jurisdiction. I am pleased that the SECās Project Crypto initiative is already producing results for the American people,ā he added.
The SECās clarification comes alongside the launch of Project Crypto, a new initiative designed to align the agencyās regulatory efforts with President Donald Trumpās stated goal of establishing the United States as a global leader in the cryptocurrency sector.
Related: Pure Fantasy to Delay: Lummis Joins White House CLARITY Push
Atkins shared Project Crypto was established in direct response to recommendations laid out in the recent digital assets report issued by President Trumpās Working Group.
The SECās recent moves come as part of a broader shift in how regulators are engaging with the evolving digital asset landscape. With market participants seeking clearer guardrails and consistent guidance, industry watchers are closely monitoring how these developments may influence future policymaking and innovation.
While questions remain around the application of existing laws to emerging technologies, signals from the Commission suggest a growing awareness of the need for regulatory frameworks that foster both investor protection and technological advancement. As digital finance continues to expand, clarity and communication between regulators and stakeholders will likely remain a central focus in the months ahead.
Read More
- CFTC and SEC Launch Crypto Sprint ā New Rules Could Shake Up DeFi
- SEC Approves Crypto ETP Shake-Up ā Bitcoin, Ether In, Cash Out
- SEC Delays Trump-Backed Bitcoin ETF and Other Major Crypto Funds Again
MICHAELA
Michaela is a news writer focused on cryptocurrency and blockchain topics. She prioritizes rigorous research and accuracy to uncover interesting angles and ensure engaging reporting. A lifelong book lover, she applies her passion for reading to deeply explore the constantly evolving crypto world.
