Crypto staking on proof-of-stake blockchains not a security: SEC staff

The SEC staff clarified that staking on proof-of-stake blockchains does not violate securities law. Staking rewards are viewed as compensation for services provided by node operators.

Custodial staking is not classified as a securities offering since custodians merely act as agents, without directly deciding staking amounts.

Commissioners Hester Peirce supports the guidance, emphasizing its clarity, while Caroline Crenshaw questions its alignment with existing laws and the regulatory roadmap.

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