A coalition of nearly 30 crypto advocacy groups, led by the Crypto Council for Innovation (CCI), has requested the U.S. Securities and Exchange Commission (SEC) for clear regulatory guidance on crypto staking. The groups assert that staking is a technical process and not an investment activity, responding to the SEC's inquiry about whether staking should fall under federal securities regulations. They argue that stakers retain ownership of their assets and that rewards are determined by blockchain protocols rather than provider managerial decisions. The coalition is advocating for the SEC to support staking features in exchange-traded products while avoiding restrictive rules that could hinder innovation. They note a positive shift in relation with the SEC, highlighting recent constructive discussions. Prominent organizations in this alliance include venture capital firm Andreessen Horowitz, blockchain firm Consensys, and crypto exchange Kraken. The letter also underscores the inadequacy of the current securities disclosure regime for staking services, which differ fundamentally from traditional financial activities.

Source đź”—