Guidance from the Internal Revenue Service appeared to offer additional regulatory clarity for crypto staking through exchange-traded products.
The US Internal Revenue Service (IRS), the country’s tax-collection bureau under the Department of the Treasury, has updated its guidance for cryptocurrency exchange-traded products (ETPs) to include a safe harbor for trusts to stake digital assets.
Treasury Secretary Scott Bessent wrote in a Monday X post that the agencies released guidance offering crypto ETPs “a clear path to stake digital assets and share staking rewards with their retail investors.”
According to the guidance available on the IRS website, government agencies would allow crypto trusts to participate in staking, provided they are traded on a national securities exchange, hold only cash and “units of a single type of digital asset,” held by a custodian, and mitigate specific risks to investors.
