From Yahoo Finance: 2025-06-02 16:30:00

The SEC is worried that crypto exchange-traded funds offering staking exposure may not qualify as ETFs. The agency sent a letter to ETF Opportunities Trust about Ethereum and Solana funds by REX Financial and Osprey Funds. Staking allows crypto investors to earn rewards. The SEC questions if the funds meet the definition of an investment company.

Funds must meet this definition to trade on the stock market. The SEC is concerned that the registration statements may be misleading. REX Financial and Osprey Funds did not comment but aim to satisfy the SEC on the investment company question before launching the funds. These would be the first-ever staked Ether and Solana ETFs.

The SEC’s delay follows guidance stating staking participants don’t need to register with the agency. Commissioner Caroline Crenshaw criticized the SEC’s confusion on crypto asset security status. She questioned why certain crypto assets are considered securities for ETFs but not for registration requirements. Crenshaw called for clarity on whether ETH and SOL are securities.



Read more at Yahoo Finance: SEC Concerned About Crypto ETFs With Staking Exposure