Jito Labs is leading the charge for clearer regulations on liquid staking, a topic that has gained significant attention in the cryptocurrency space. Their recent collaboration with prominent asset managers highlights the growing push for regulatory clarity in this evolving market. The publication provides the following information: this initiative aims to establish a framework that ensures both innovation and investor protection.
Jito Labs, VanEck, and Bitwise Urge SEC on Liquid Staking
On July 31, Jito Labs, alongside VanEck and Bitwise, formally urged the U.S. Securities and Exchange Commission (SEC) to permit liquid staking within eight proposed Solana exchange-traded funds (ETFs). The coalition emphasized that liquid staking tokens enhance capital efficiency and resilience, making them a valuable addition to ETF structures.
SEC Guidance on Liquid Staking
In a significant development, the SEC's Division of Corporate Finance issued guidance on August 5, indicating that certain forms of liquid staking may not be classified as securities offerings. However, the determination hinges on specific facts and circumstances, leaving room for interpretation and further discussion in the regulatory landscape.
As Jito Labs pushes for clearer regulations on liquid staking, concerns over stagflation could impact the cryptocurrency market. For more details, see the article on stagflation risks.
