A significant coalition has formed in the crypto industry as the Proof of Stake Alliance (POSA) has teamed up with 30 organizations urging the SEC for clearer rules on staking. Notable participants include Kraken and a16z.
Alliance Unites
The Proof of Stake Alliance (POSA), part of the U.S. Crypto Council, has partnered with 30 leading crypto organizations to call for clearer guidelines from the U.S. Securities and Exchange Commission (SEC) regarding staking. The coalition includes major firms like Kraken, a16z (Andreessen Horowitz), and Paradigm.
Importance of Clear Rules
The absence of regulatory clarity has already impacted the crypto market. For instance, Kraken shut down its staking services in the U.S. in early 2023 following SEC enforcement action, prompting uncertainties for other crypto firms regarding the legal offerings of staking products.
Call for Cooperation
POSA emphasizes the need for tailored regulations that account for the technical differences of various staking models and should not automatically fall under securities law. The coalition's appeal to the SEC illustrates the crypto industry's desire to collaborate with regulators for constructive dialogue.
The unity within the crypto industry marks a crucial moment in the push for staking regulation clarity in the U.S., which may significantly influence the development of blockchain technology in the country.
