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Crypto industry urges SEC to clarify staking stance

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Cryptocurrency industry groups are urging the US Securities and Exchange Commission (SEC) to issue formal guidance on staking, citing continued regulatory uncertainty for Web3 infrastructure providers, according to Allison Muehr, head of staking policy for the Crypto Council for Innovation, a trade group.

Clarifying the SEC’s position on staking has become a top priority for the crypto industry, Muehr said during Solana’s Accelerate conference in New York.

“We’re about 25% of the way there,” Muehr said. “The SEC has done more constructive engagement with us in the past four months than in the last four years, but we still don’t have formal staking guidance.”

Allison Muehr, right, the Crypto Council for Innovation’s head of staking policy, speaks at Accelerate. Source: Cointelegraph

Related: SEC acknowledges slew of crypto ETF filings as reviews, approvals accelerate

Changing regulatory stance

Under the previous US presidential administration, the SEC brought enforcement actions against several crypto firms for offering staking services it alleged were unregistered securities offerings.

Since President Donald Trump took office in January, the SEC has softened its stance.

In February, the agency issued guidance stating that memecoins do not qualify as investment contracts under US law. 

In April, the regulator clarified that stablecoins also do not qualify as securities if they are marketed solely as a means of making payments.

Still, the agency has yet to approve staking in exchange-traded funds (ETFs) or issue formal guidance on how staking services can be offered compliantly in the US.

Other policy goals

Muehr said she is optimistic the SEC will eventually approve staking for cryptocurrency ETFs, including for proposed Solana (SOL) funds.

“Getting there means first getting the SEC comfortable with the structure,” she said, noting the industry has recently had “some productive meetings with the agency.”

“I’m hopeful we’ll see a Solana ETF and even a staked Solana ETF in the US sometime soon.”

The SEC is not the only agency the crypto industry is looking to persuade. Muehr said the Internal Revenue Service (IRS) — the top US tax authority — has also taken a position the industry opposes.

“The IRS finally issued a statement saying staking rewards are service income,” she said. “We disagree with that interpretation and continue to engage.”

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