SEC's Crypto Task Force Partners with Jito Labs and Multicoin Capital to Explore ETP Staking

In a groundbreaking move, the SEC's Crypto Task Force recently delved into discussions on ETP staking with industry giants Jito Labs and Multicoin Capital. This signals a shift towards a new "tripartisan" approach within the Commission, emphasizing collaborative efforts with industry players to shape regulatory policies.

While no official announcements have been made, speculations are rife that the Task Force conducted a webinar on the subject just this week. Following today's meeting, the NYSE wasted no time and filed for permission to enable staking on Grayscale's Ethereum ETF.

The SEC's Focus on Staking

Under the leadership transition post-Gary Gensler's tenure, the SEC has undergone significant transformations. It has expedited the processing of ETF applications for various cryptoassets, adopted a more lenient stance on industry regulations, explored potential collaboration with the CFTC, and more. The latest move by the SEC's Crypto Task Force underscores its commitment to engaging with key industry players like Jito Labs and Multicoin Capital to delve deep into ETP staking.

Renowned ETF analyst James Seyffart commented, "The SEC's crypto task force is delving into the details and raising pertinent questions about staking. These discussions should have taken place earlier, but it's a positive step in the right direction."

Embracing a forward-thinking regulatory approach, the SEC, in alignment with David Sacks' recent observations on crypto, is striving for a "tripartisan" perspective. This entails leveraging inputs not only from major political factions but also industry stakeholders in policy formulation. With Jito Labs being a significant player in the staking domain and a key contributor to Solana's ecosystem, its active involvement in these discussions is paramount.

During the recent meeting, the Crypto Task Force focused its discussion on exploring ways to incorporate staking into crypto ETPs and the practicalities of implementation. While the specifics of the deliberations remain undisclosed with only a succinct five-page summary released by the SEC, industry buzz suggests a growing interest in this evolving area. Reports indicate the likelihood of another webinar hosted by the SEC earlier this week to delve deeper into staking-related matters, underscoring the Task Force's proactive engagement with industry stakeholders.

The impact of these discussions is already evident, with the NYSE swiftly moving to propose staking on Grayscale's Ethereum ETF following the SEC's meeting announcement. The Crypto Task Force is gearing up for swift action, hinting at potential approval for ETF staking in the near future. Stay tuned for further updates on this evolving regulatory landscape.