The SEC has been changing dramatically since its last Chair, Gary Gensler, resigned. It moved ETF applications from several cryptoassets forward, reduced anti-industry enforcement, considered new CFTC cooperation, and more.
The SEC’s Crypto Task Force met with Jito Labs and Multicoin Capital to discuss ETP (Exchange-traded products) staking. This reflects the Commission’s new “tripartisan” approach, which uses industry collaboration to craft policy.
Nothing has been confirmed, but rumors suggest that the Task Force held another webinar on the topic earlier this week. Shortly after today’s meeting, the NYSE filed to allow staking on Grayscale’s Ethereum ETF.
The SEC Investigates Staking
The SEC has been changing dramatically since its last Chair, Gary Gensler, resigned. It moved ETF applications from several cryptoassets forward, reduced anti-industry enforcement, decreased CFTC cooperation, and more. The SEC’s new Crypto Task Force broke ground again today, meeting with Jito Labs and Multicoin Capital to discuss ETP staking.
“The SEC’s crypto task force is getting in the weeds & asking questions about staking. Honestly, these conversations should have happened years ago, but this is a good start,” claimed James Seyffart, a prominent ETF analyst.
The SEC’s approach to positive regulation mirrors a comment from David Sacks’ recent crypto press conference: it will pursue a “tripartisan” outlook. Essentially, in addition to cooperation from both major political parties, industry representatives will also craft policy. Jito Labs is a large and influential staking protocol and one of Solana’s most relevant players, so its presence makes sense here.
The recently-formed Crypto Task Force focused its inquiries around two topics: the ability to include staking within crypto ETPs and potential methods to enact it in reality. The SEC only released a five-page document on the meeting, so its difficult to determine how much success these representatives had in reaching meaningful solutions.
However, industry reporters have found evidence of deeper curiosity on the subject. The SEC directly announced this one meeting, but rumors suggest it hosted another webinar to discuss staking earlier this week. It is unclear which firms participated in this meeting, but apparently, the Crypto Task Force has directly asked industry representatives to list its top priorities.
Regardless, these meetings have already been influential, no matter which firms participated. Shortly after the SEC announced this meeting, the NYSE submitted a proposal to allow staking on Grayscale’s Ethereum ETF. The Crypto Task Force plans to move fast, and it could approve ETF staking very soon.
