Cryptocurrency ETFs already have clear rules to include staking

The United States Department of the Treasury and the Internal Revenue Service (IRS) have published new guidelines that make it easier for digital asset exchange-traded funds (ETFs) operating on Wall Street to generate returns through staking.

This regulatory movement provides a clear fiscal recognition of the figure of staking, aligning it with regulations and allowing its maximum use by the institutions.

The measure, according to US Treasury Secretary Scott Bessent, “increases returns for investors, drives innovation and maintains the United States as a global leader in digital assets.”

Staking, in simple terms, is the act of leaving cryptocurrencies deposited in a smart contract, wallet or exchange in order to earn profits. In the context of ETFs, staking implies that funds will use cryptoassets to participate in transaction validation and generate additional rewards.

Although there are already staking futures funds, for example, the REX Shares solana-based ETF and Osprey Funds, as reported by NoticiasVE, this new regulation could accelerate the presentation and approval of more products by investment firms.

ETF issuing firms that wish to incorporate staking must adhere to a series of rigorous conditions to ensure safety and complianceas detailed by Consensys’ lawyer, Bill Hughes. Among the main conditions are: keeping only the type of digital asset in question and cash; use a qualified custodian to manage the keys and execute the staking; and maintain liquidity policies that allow redemptions even with assets blocked (captive).

Besides, Firms are required to maintain independence agreements with staking providers and strictly limit their activities to holding, staking and exchanging assets, without engaging in discretionary operations. These guidelines seek to ensure that the incorporation of the staking reward is done under a framework of investor protection and strict compliance.