Kraken Revives Staking for U.S. Clients, Offers 17 Digital Assets

Cryptocurrency exchange Kraken has reinstated its staking services for U.S. clients, nearly two years after settling a case with the Securities and Exchange Commission (SEC). The exchange has reopened cryptocurrency staking for specific tokens in select states, offering customers the opportunity to stake 17 digital assets, including Ethereum (ETH), Solana (SOL), and Cardano (ADA).

The new business offering via Kraken Pro will allow U.S. users to stake these digital assets, with the service adopting a bonded staking model. This requires users to lock up their tokens for a predetermined period, with the lock-up duration varying based on the individual blockchain network. Kraken also stated that slashing insurance will be applied, offering greater risk management for users.

Kraken's reintroduction of a staking product for U.S. customers marks a significant shift in the landscape of cryptocurrency services following past regulatory challenges. This product, now compatible with 39 eligible states, demonstrates Kraken's commitment to adapting its offerings in compliance with regulatory changes.

Kraken's Global Head of Consumer, Mark Greenberg, expressed enthusiasm over this development, noting, "We are excited to bring back a brand new product enabling U.S. clients to resume staking with Kraken and play a significant role in bolstering the underlying security of blockchain networks."

Kraken's new staking product is distinct from the one it settled with the SEC in February 2023, as the exchange has carefully approached its offerings post-regulation. This launch signifies both a response to regulatory scrutiny and a dedication to maintaining compliance while expanding its service offerings.

The metamorphosis of Kraken's staking service comes in light of past controversies surrounding its operations. In February 2023, the SEC claimed Kraken was profiting from unregistered securities, leading to the abrupt cessation of its staking product. However, a new regulatory environment has emerged under a different leadership, with SEC chairman Paul Atkins adopting a more supportive stance towards the crypto industry. This shift allows Kraken to cautiously reintroduce its staking capabilities while incorporating necessary changes to align with compliance standards.

As Kraken re-establishes its staking services, it marks a vital phase in the ongoing evolution of cryptocurrency regulations and offerings. This new product not only highlights the shifting regulatory landscape but also serves to enhance user