The SEC has introduced new guidelines for crypto staking activities, creating both support and controversy within the industry. The revised rules, announced by the SEC’s Division of Corporation Finance on May 29, 2025, may exempt certain proof-of-stake blockchains from registration requirements, triggering debate among regulators and industry experts. The changes are seen as a departure from the SEC’s previous enforcement focus on crypto assets, leading to market reactions highlighting both support and dissent. Former SEC enforcement chief John Reed Stark criticized the decision, while Commissioner Caroline Crenshaw raised concerns about a lack of analysis regarding staking products. Commissioner Hester Peirce announced the SEC’s Crypto Task Force’s first report, signaling varying internal perspectives. The new guidelines are expected to significantly impact staking service providers by adjusting operational frameworks for asset locking and potentially facilitating the development of staking ETFs. Financial sectors anticipate evolving investment strategies based on this guidance, while political discussions about crypto legislation could take center stage. The SEC’s action marks a significant moment in the evolution of crypto regulations as it paves the way for increased engagement with the industry.