The Crypto Council for Innovation is presenting a case with the United States Stock Exchange and Securities Commission that ascending is not only a virtue for digital asset markets, but it should be to the Dalencia for the Securities Regulator.
The group, a rethinking interest coalition, including Kraken, A16z, Lido, Galaxy, Figurm, Polychy and Paradigm, argued in a letter to the Crypto Task Force of the Agency that the logic behind the recent statement of the personnel of the section of the “work test” Crypto Mining is not a transaction of translations of beastites under the jurisdiction of the agency, Extend to the practice of Staking of Staking.
“The stakers, such as Pow miners, are compensated according to the results defined by the protocol, not the management actions or the participation agreements in the profits,” according to the letter reviewed by Coindesk.
When users applaud their coins, they accept having them locked up for a certain period of time to participate in the operation and safety of a block chain, and get a return for that. Those who support their cryptographic assets in blockchain protocols of “seal test” are providing “valuable technical services”, and the resulting rewards are not passive investment gains, according to the group.
Read more: Crypto Staking 101: What is rethinking?
The CCI view goes against the previous position of the SEC, when the execution staff of former President Gary Gensler went to cryptocurrency cryptocurrency operations, as in Kraken’s high profile settlement with the agency, as well as other cases, including one that involves consensions. The SEC also blocked the participation in funds quoted in the stock market (ETF) that track Ethereum (ETH) while reviewing the applications for those products in 2024.
The CCI letter asked the SEC to provide guidance as it is done for Memecoin, miners and some Stablecoin emitters, declaring that their activities are outside the agency’s legal concern. While these statements are not binding, not even as formal orientation, they are understood as markers to establish the limits of the current thought of the regulator.
“At the national level, the regulators of values of some states are looking for compliance actions related to the rethink,” according to the coalition. “The orientation of the commission can help send a clear sign that, at least at the federal level, the United States is adopting regulations of common sense that support innovation and faithful to the limitations of securities laws.”
Since the beginning of the administration of President Donald Trump, the SEC has generally taken a much more friendly position towards digital assets. The new president Paul Atkins pointed out in his first public event on Friday, a cryptographic round table, which is open to rethinking how the agency has treated cryptographic businesses.
Cryptographic companies are not alone in the search for a new direction in the rethinking. In February, American senators sent a letter to the regulator that asked him to reconsider their opposition to the reference in the industry ETF spot.
