Ethereum Price Jumps on SEC’s DeFi Pivot – Is $2,800 the Next Target?

Ethereum Price – SEC Chair Declares Ethereum Staking Legal: Is the U.S. Now the Crypto Capital?

Ethereum Price – In a pivotal development for the crypto industry, SEC Chair Paul Atkins made strong pro-DeFi remarks at the SEC’s Crypto Task Force Roundtable on June 9, suggesting a dramatic regulatory pivot in how the U.S. handles decentralized finance. The roundtable, which focused on blockchain innovation and decentralized networks, showcased a marked departure from previous enforcement-led strategies, particularly with regard to Ethereum and staking.

DeFi Aligned with American Economic Principles

Atkins opened with a bold assertion: “The American values of economic liberty, private property rights, and innovation are in the DNA of the DeFi movement.” This framing set the tone for what many observers now consider the most DeFi-friendly comments ever made by a sitting SEC Chair.

Criticizing the application of “century-old regulatory frameworks” to emerging blockchain technologies, Atkins emphasized that current securities laws were never designed for systems powered by self-executing smart contracts and decentralized validators, but rather for traditional intermediaries such as brokers and centralized issuers.

SEC Clarifies Position on Staking and Validators

In one of the most consequential statements of the event, Atkins clarified that voluntary participation in proof-of-work or proof-of-stake networks—as a miner, validator, or staking-as-a-service provider—“is not within the scope of the federal securities laws.”

This clarification could have wide-reaching implications for the broader crypto economy, particularly Ethereum, which transitioned to proof-of-stake (PoS) in 2022 with its Merge upgrade. The move reassures both institutional and retail participants that staking ETH is not considered a securities transaction under current guidance.

Atkins further added that publishing staking code or wallet software is not considered brokerage activity, signaling a green light for open-source developers and non-custodial software providers.

Push for “Innovation Exemption” and Self-Custody Rights

The SEC chair also proposed a new regulatory concept: an “innovation exemption”—a fast-track framework aimed at allowing compliant DeFi products and services to enter U.S. markets with fewer bureaucratic delays.

“An innovation exemption could help fulfill President Trump’s vision to make America the ‘crypto capital of the planet’ by encouraging developers, entrepreneurs, and other firms that are willing to comply with certain conditions to innovate with on-chain technologies in the United States,” Atkins stated.

He further endorsed giving market participants greater flexibility to self-custody their digital assets, a right often debated in the regulatory space. This stance directly challenges earlier SEC enforcement actions targeting wallet providers and staking services.

Ethereum Gets Regulatory Clarity

The immediate winner of the roundtable appears to be Ethereum, the industry’s leading smart contract platform with $68 billion in on-chain value and a 55% market share in DeFi, according to DeFiLlama.

Former Ethereum core developer Eric Conner called the announcement a “huge day for Ethereum,” noting that if these statements become formal policy, the U.S. could truly become the global leader in crypto innovation.

“Ethereum gets regulatory clarity for staking, self-custody, and open-source infrastructure,” Conner emphasized.

ETH Price Surges but Hits Familiar Resistance

Market reaction was swift. Ethereum (ETH) price surged 8% following the SEC roundtable, climbing from below $2,500 to $2,720 during Tuesday morning’s Asian trading session. The price rally reflected growing investor optimism about Ethereum’s future in a friendlier U.S. regulatory environment.

However, the $2,720–$2,800 range has acted as strong resistance over the past month. ETH once again pulled back from the intraday high, remaining range-bound despite the bullish momentum. Analysts suggest that Ethereum needs to decisively break above $2,800 for any sustained upside trend to emerge.

Outlook for U.S. DeFi Regulation

While this roundtable doesn’t immediately change existing law, the policy direction is clear: the SEC is signaling a shift toward guidance and innovation rather than enforcement and litigation.

With explicit support for staking, validator activity, open-source tools, and self-custody, and a proposed regulatory framework for DeFi products, the U.S. may finally be laying the groundwork to become a true global hub for on-chain finance.

This historic shift could be the regulatory catalyst Ethereum and the wider DeFi sector have long awaited.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.