`nearly 30 cryptocurrency advocacy groups led by the lobbying group Cryptocurrency Innovation Council (CCI) have requested clear regulatory guidance from the U.S. Securities and Exchange Commission on cryptocurrency staking and staking services. The Proof of Stake Alliance (POSA) group of CCI pointed out in a letter to the agency's cryptocurrency working group leader, SEC Commissioner Hester Peirce, on April 30 that proof of stake is fundamentally a technical process, not an investment activity.

The alliance urged the SEC to support responsibly incorporating staking functionality in exchange-traded products (ETPs) and to "avoid creating overly strict rules, as these rules could freeze market structure and stifle innovation in the staking space." The organization believes that because stakers retain ownership of their assets, staking does not meet the Howey Test's definition of an "investment contract."

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