SEC Clarifies Proof-of-Stake Networks are Not Securities Transactions

The U.S. Securities and Exchange Commission (SEC) announced on Thursday that proof-of-stake blockchain protocol staking activities do not fall under the definition of securities transactions within federal securities law. This clarification applies to individuals who self-stake certain crypto assets on a Proof-of-Stake (PoS) network, providing clarity for digital asset stakers and related service providers in the U.S. The SEC’s Division of Corporation Finance issued guidance on staking activities, following a similar approach as its mining regulations.