Participants in Liquid Staking, including depositors and service providers, do not have to worry about securities’ laws, said the SECURITIES and Exchange US commission commission in a statement on Tuesday.
The declaration, published by the Corporation Finance division, is specific to the feat of liquid, where participants deposit “covered cryptographic assets” in a third -party ignition protocol supplier, which in turn provides reception tokens to the depositors.
The liquid stripe allows users to lock the tokens in blockchains of proof of proof while maintaining access to their funds via derivative tokens. These tokens can then be used for various DEFI activities. Currently, the implementation of liquid in all blockchains has nearly $ 67 billion in total value locking (TVL), with $ 31.7 billion in Lido, according to Defilma Data.
The tokens linked to a certain number of liquid implementation protocols, including Lido, Jito and Rocket Pool, increased slightly after the publication of the DEC Declaration, but are still down on the trading of the day, said Coingecko.
Admittedly, the SEC had previously published another press release of the staff relating to other forms of stake. Similar to the previous declaration, Tuesday’s note on liquid development is not the same as the binding directives of the commissioners or regulations that have followed the official dry regulatory process.
However, the new declaration indicates how the agency reflects on the problem and suggests that any participant in the cryptographic industry which follows the directives will not be prosecuted by the regulator.
Tuesday’s declaration is specific to what providers of liquid furrows do, “including their roles concerning the gain and distribution of rewards, typing and typing cuts, delivering and re -editing the reception tokens”, as well as other auxiliary services. The main warning is that the cryptographic assets deposited cannot be “part or subject to an investment contract”.
“In a liquid ignition arrangement, the supplier of liquid ignition (whether it is a node operator or not) does not provide entrepreneurial or management efforts for depositors for which it provides this service,” the press release said.
“These provisions are similar to those discussed in the declaration of implementation of the protocol with regard to” childcare arrangements “. The supplier of liquid ignition does not decide if, when, or what part of cryptographic assets covered with a depositor to play and simply act as an agent in connection with the implementation of cryptographic assets covered in the name of the depositor,” said the press release.
Join the political conversation of the Crypto September 10 at DC – Register now for Coindesk: Policy and regulations.
