The U.S. Securities and Exchange Commission’s Division of Corporation Finance issued a staff statement clarifying that “liquid staking” activities conducted in connection with protocol staking do not involve the offer and sale of securities under the federal securities laws. The statement describes liquid staking as a mechanism in proof-of-stake networks where a person stakes crypto assets but receives liquid staking tokens (LSTs) that evidence legal and beneficial ownership of the staked assets, enabling transfer or use (including as collateral) without first unstaking. Staff characterises this structure as analogous to depositing goods with an agent performing a ministerial function in exchange for a receipt evidencing ownership, rather than an investment contract or other securities transaction. The Division indicated that market participants with questions can seek further guidance, and the SEC’s Crypto Task Force is also accepting inquiries and feedback on the statement.
U.S. Securities & Exchange Commission 2025-08-05
U.S. Securities and Exchange Commission staff clarifies certain liquid staking activities are not securities offerings
The U.S. Securities and Exchange Commission’s Division of Corporation Finance clarified that "liquid staking" activities in proof-of-stake networks do not constitute the offer and sale of securities under federal law. Liquid staking involves receiving tokens that represent ownership of staked crypto assets, allowing transfer or use without unstaking. The SEC’s Crypto Task Force is open to inquiries and feedback on this clarification.