Uphold Resumes Crypto Staking in the US Amid Regulatory Shift

Uphold Resumes Crypto Staking in the US Amid Regulatory Shift

Uphold, the popular cryptocurrency exchange, has officially reinstated its staking services in the United States, citing a more favorable regulatory climate and a shift in policy towards digital assets.

After relaunching staking in the United Kingdom earlier in February, the platform announced on Monday, March 3, 2025, that US customers can now earn staking rewards on 19 different cryptocurrencies, including Ether (ETH), Cosmos (ATOM), and Polkadot (DOT). Rewards will be distributed weekly in the same asset that users have staked.

Regulatory Changes Pave the Way for Staking’s Return

Uphold’s decision to bring back staking services follows a softening stance on crypto regulations in the US. The Securities and Exchange Commission (SEC) has recently dropped multiple legal cases against crypto firms, including its high-profile lawsuit against Coinbase, the largest US-based crypto exchange.

Why Uphold Suspended Staking in 2023

Uphold initially suspended its staking services in 2023 due to regulatory uncertainty and what CEO Simon McLoughlin described as a “regulation by enforcement” approach led by SEC Chair Gary Gensler.

“At the time, the SEC argued that most staking providers failed to provide customers with adequate disclosures, such as how staked assets were being protected,” McLoughlin explained. He also pointed to the SEC’s $30 million fine against Kraken over its staking program, which prompted many exchanges to pull back from staking services in the US.

“In response, we made the difficult decision to discontinue staking, stating that we could not ignore the SEC’s guidance on the matter,” McLoughlin recalled.

A New Regulatory Landscape for Crypto Staking

McLoughlin believes the US crypto policy has taken a positive turn under a new administration, with more knowledgeable regulators shaping the legal landscape.

“It’s encouraging to see industry-savvy leaders like Hester Peirce heading the SEC’s crypto task force and Paul Atkins as the presumptive incoming SEC Chair. Their understanding of blockchain technology is helping to steer crypto regulation in a more balanced and informed direction,” he stated.

The Uphold CEO emphasized that staking is a fundamental component of blockchain governance and the crypto economy, allowing users to participate in network security while earning rewards.

“With a more blockchain-forward regulatory environment emerging in the US, we’re thrilled to bring back staking for our US customers,” McLoughlin concluded.

A Sign of Growing Confidence in US Crypto Policy

The SEC’s decision to drop lawsuits against Coinbase played a role in Uphold’s renewed confidence in the US market. As regulatory uncertainty diminishes, more crypto firms may follow suit in reinstating staking and other blockchain-powered financial services.

For Uphold users, the return of staking marks a significant milestone—one that signals a broader shift towards a more open and innovation-friendly regulatory framework for digital assets in the US.