Crypto Advocates Demand Clarity on Staking from SEC
Nearly 30 leading crypto advocacy organizations, spearheaded by the Crypto Council for Innovation (CCI), have jointly called on the U.S. Securities and Exchange Commission (SEC) to provide clear regulatory guidance on staking. In a formal letter, they emphasized that staking is a technical process, not an investment, and should not be regulated under traditional securities laws.
"Staking is not just a feature of crypto — it is the backbone of a decentralized internet," the letter asserted, underscoring its vital role in maintaining blockchain networks.
Major industry players like Andreessen Horowitz (a16z), Consensys, and the exchange Kraken co-signed the letter. They warned that overly restrictive regulations could paralyze market structure and stifle innovation, pushing blockchain development outside the U.S.
Despite the growing adoption of staking in the crypto ecosystem, the SEC has yet to approve any staking-based ETFs, and its decision on Grayscale’s application remains delayed.
This unified request signals growing pressure on regulators to distinguish between technical protocols and financial products as crypto continues to evolve.
