Lido: US SEC Clarifies Liquid Staking Is Not a Security, Facilitating Institutional Adoption and DeFi Ecosystem Growth

According to Jinse Finance, Lido stated that the guidelines released yesterday by the US SEC confirm that liquid staking and receipt tokens like stETH do not constitute securities, providing the long-awaited regulatory clarity for Lido and the entire industry. Lido now enjoys greater regulatory transparency for its operations in the United States, eliminating the uncertainty that previously hindered institutional adoption and DeFi integration. This position opens the door for domestic platforms, financial institutions, and users in the US to use Lido more freely. Without concerns about triggering securities laws, more protocols may integrate stETH, further expanding its use cases in the DeFi sector. This also strengthens the rationale for centralized exchanges and fintech platforms to support Lido’s liquid staking, which is expected to attract more capital inflows.