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Treasury and IRS Clear U.S. ETFs and Trusts to Stake Crypto Under New Rules

New rules set strict custody requirements with SEC‑reviewed liquidity policies to govern how regulated funds pass staking rewards to investors.

Overview

  • The guidance creates a formal pathway for exchange‑traded products to stake permissionless proof‑of‑stake assets and distribute rewards to holders.
  • Funds must use a qualified custodian, hold a single crypto asset plus cash, and limit activities to holding, staking, and redeeming the token.
  • Issuers must adopt SEC‑approved liquidity policies to ensure redemptions can occur while assets are staked, using arm’s‑length independent staking providers.
  • Treasury framed the move as integrating staking into regulated products with aligned tax and compliance treatment, providing long‑sought clarity for issuers.
  • Industry experts say the change is likely to accelerate institutional participation in networks such as Ethereum and Solana and spur staking‑based ETP designs.