Ethereum trading volume hit a year-high as the US Securities and Exchange Commission (SEC) issued new guidance on staking.
The surge came as the amount of Ethereum staked also hit a record high.
According to a report by Dune Analytics, more than 36 million Ethereum tokens, or about 30% of the total supply, are now at stake during the price turmoil.
Many ETH holders are choosing not to sell their assets anytime soon, instead taking advantage of the rewards from staking.
The surge in activity has been supported by an SEC update, including an additional statement from the commission suggesting that liquid staking may be exempt from securities regulations.
However, one of the commissioners’ representatives hinted that the situation could be more difficult than expected.
On Tuesday, the SEC’s Division of Corporate Finance issued a statement titled ‘Statement Regarding Certain Liquid Staking Activities’ outlining their definition and views on liquid staking.
Therefore, any entity issuing ‘staking receipt tokens’, as long as they do not form an element of an investment contract, is not required to register with the SEC.
