Leading blockchain infrastructure provider Everstake has voiced strong support for non-custodial staking, as the U.S. Securities and Exchange Commission (SEC) continues gathering feedback on the regulatory status of staking services. The company emphasized that non-custodial staking does not involve user fund control, and therefore, should not fall under traditional securities regulations.
This comes amid increasing scrutiny from the SEC, which has targeted centralized staking providers and exchanges, raising concerns across the crypto industry about potential overreach into decentralized staking protocols.
Non-Custodial vs. Custodial: What’s at Stake
Everstake’s position rests on a critical distinction:
- Custodial staking involves users handing over control of their assets to a third-party platform, often for convenience.
- Non-custodial staking, in contrast, allows users to stake their tokens directly from their wallets while maintaining full control of their private keys.
According to Everstake, lumping both models under the same regulatory framework risks undermining the decentralization principles that blockchain technology is built on.
SEC’s Review Could Shape the Future of Staking in the U.S.
The SEC has opened a public comment period to evaluate how staking fits within its existing regulatory framework. Industry leaders argue that non-custodial services are akin to running decentralized infrastructure, not financial intermediation.
If the SEC imposes sweeping restrictions, it could have wide-reaching consequences for proof-of-stake (PoS) networks like Ethereum, Solana, and Cosmos — all of which rely heavily on staking for security and participation.
Everstake’s Call for Nuanced Regulation
Everstake is urging regulators to differentiate between staking models, advocating for thoughtful, innovation-friendly policies. The company stated that non-custodial validators support decentralization, reduce reliance on intermediaries, and empower users to engage securely with PoS networks.
“We must protect decentralization while addressing risk — not stifle innovation through one-size-fits-all rules,” said an Everstake spokesperson.
Industry Awaits SEC’s Next Move
As the SEC deliberates, the crypto community is watching closely. Everstake’s defense of non-custodial staking adds to a growing chorus calling for clarity without overregulation. The outcome could significantly shape how Americans stake, earn yield, and interact with Web3 ecosystems going forward