The SEC has approved liquid staking providers to issue staking tokens and pay users rewards. DeFi giants like Lido and Jito are now confirmed to be outside SEC jurisdiction. Top projects hold billions in crypto assets and provide staking rewards. Liquid stakers like Lido are exempt from securities regulation, per the SEC’s recent statement.

The SEC has made a series of exemptions for core crypto sectors. Recent statements have excluded crypto mining, meme coin trading, and stablecoins from SEC oversight. Lawsuits against crypto-focused entities have been dropped, but custodial staking providers faced legal action. Liquid staking providers like Lido and Jito have not been targeted.

The SEC’s latest statement explicitly exempts liquid staking activities from securities regulations. This move is part of a trend to exclude key crypto sectors from the agency’s oversight. Liquid staking providers like Lido and Jito are now free to continue offering their services without registering with the SEC.

Read more at Yahoo Finance: SEC Exempts Liquid Stakers Like Ethereum’s Lido, Solana’s Jito From Securities Laws