The SEC is in discussions with Everstake, a major staking provider, aiming to clarify regulations around staking in blockchain networks as over $193 billion in digital assets are staked globally. Staking is in a legal gray area in the US. Everstake argues non-custodial staking isn't a securities transaction as users retain full asset control. The firm submitted a letter to the SEC, advocating for clear regulations on staking models, citing that non-custodial staking is distinct from securities offerings and fails the Howey test. The SEC, post Trump's administration, has dismissed enforcement actions on staking service providers, but has not provided clear guidance on staking regulations as it engages with industry stakeholders. Crypto advocate groups have also urged for regulatory clarity on crypto staking.