TL;DR
The U.S. SEC has clarified that participating in staking activities on Proof-of-Stake (PoS) networks does not constitute a securities offering.
This decision benefits platforms like Ethereum and Solana and could allow future crypto ETFs to include staking rewards.
Major asset managers such as BlackRock and Fidelity are already in talks to move in that direction.
In a move that may reshape how regulators interact with blockchain technologies, the U.S. Securities and Exchange Commission (SEC) confirmed that certain staking activities on Proof-of-Stake networks are not considered securities under federal law. The statement, issued by the SEC’s Division of Corporation Finance on May 29, comes after increasing pressure from crypto industry players demanding clear regulatory guidelines and long-overdue transparency on digital assets.
According to the Division’s guidance, staking activities that do not involve entrepreneurial decision-making, such as solo staking or delegating to third parties without control over the process, are viewed as technical services rather than investments. Specifically, it stated that staking rewards earned by node operators are not “profits derived from the efforts of others,” removing the basis to treat them as securities under the Howey Test.
This update not only reduces legal tension for platforms like Coinbase or Kraken—which have previously faced enforcement actions for offering staking—but also clears the way for new financial products based on Ethereum or Solana. It gives developers and users working on PoS-based blockchains more confidence to build, without the looming risk of arbitrary enforcement. The SEC’s new view could even energize emerging projects that rely on staking as a core part of their models for functionality and long-term sustainability.
Crypto Companies And Asset Managers Welcome The Move
The announcement arrives at a crucial moment. Major managers such as BlackRock and ARK Invest have recently held meetings with the SEC’s Crypto Task Force to discuss integrating staking rewards into Ethereum ETFs.
Until now, regulatory uncertainty had caused delays in the approval of such products. With this new direction, updated proposals with staking features may finally gain traction.
Additionally, groups like the Crypto Council for Innovation and the Proof of Stake Alliance (POSA) see the decision as confirmation of their position: that staking, when properly structured, is a technical process, not a traditional investment.
Even though Ethereum’s price dipped after the news, sentiment across the ecosystem remains positive. This clarification could signal the beginning of a new chapter where staking becomes a fully accepted component of modern finance—free from legal uncertainty.
