Our two white papers published today provide legal research & analysis of liquid staking tokens.
They reason that LSTs for digital commodities should not be treated as securities, swaps, or taxable events, & define industry principles for responsible growth.
3. LSTs should not be considered swaps under U.S. federal commodity law.
We urge the entire industry to self-regulate by adopting these principles to continue fostering liquid staking’s responsible growth:
✅Develop tools to enable direct staking with access to liquidity, not staking-backed yield products
✅Focus promotion on expanding liquidity without sacrificing security & participation
✅Refrain from providing investment advice
We invite all liquid staking protocols and their participants to join the process to build standards and procedures to help shape policy and educate regulators globally.