US Edition
SEC Flags Concerns over Crypto ETFs that Offer Staking Rewards
- On May 30, 2025, the SEC expressed legal concerns regarding two proposed US crypto ETFs focused on staking rewards, which are being developed through entities associated with REX Financial and Osprey Funds.
- The SEC questioned if these ETFs meet the Investment Company Act's criteria due to their C-corp structure and plans to stake at least 50% of assets for yield, leading to regulatory doubts and a launch delay.
- REX’s general counsel Greg Collett affirmed the firm intends to satisfy SEC concerns before launching, while analysts expect staking exposure in US ETFs to succeed despite current filing issues.
- James Seyffart from Bloomberg Intelligence expressed confidence that, even if the SEC does not approve this specific structure for listing, simpler approaches to enabling staking within a US ETF will eventually succeed.
- The SEC’s action highlights ongoing caution toward complex crypto products, implying that staking ETFs face an uncertain path amid evolving regulatory standards and investor transparency demands.
33 Articles
33 Articles
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SEC’s Crenshaw Says Crypto Task Force Clarity Push Is Creating Confusion, Not Order - FinanceFeeds
SEC Commissioner Caroline A. Crenshaw has issued a public statement criticizing what she described as “deeply inconsistent” treatment of crypto assets under U.S. securities law. In a document titled “Muddying The Waters: More Confusion On Crypto Asset Security Status”, Crenshaw questioned the logic behind recent regulatory approvals and warned that the SEC’s approach risks undermining legal coherence and investor protection. The statement, dated…
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