Crypto Mama Hester Peirce: ETF physical redemption and staking are expected to be initiated! U.S. crypto regulation may become clearer

Crypto Mama Hester Peirce hinted during an interview that as Gary Gensler steps down as SEC Chairman, cryptocurrency policy may see a turning point. She mentioned that two policies related to cryptocurrency ETFs may be reassessed, including physical purchases and redemptions, as well as allowing Ethereum ETFs to stake, expressing optimism for a clearer regulatory framework. (Background: VanEck's 2025 Top 10 Predictions: Bitcoin reaching a mid-term peak in Q1 next year, Solana spot ETF approval, DeFi innovation at an all-time high...) (Additional context: Is the next cryptocurrency ETF not SOL? Bloomberg analysts: HBAR and LTC are expected to lead next year) Since Trump's nomination of pro-cryptocurrency former SEC Commissioner Paul Atkins to replace Gary Gensler as chairman, the market has increasingly anticipated that the U.S. regulatory attitude toward cryptocurrencies will develop in a friendlier and more lenient direction. Known as 'Crypto Mama,' Hester Peirce indicated during a Coinage interview yesterday (20th) that the SEC is planning to promote a series of policy reforms favorable to cryptocurrency. Peirce hinted that ETF open physical purchases/redemptions and staking may be approved. Hester Peirce stated, 'Washington is in a transition period, and the SEC is no exception.' She mentioned that although it will take time for the new chairman to take office, there is still uncertainty in the future, but the SEC is ready to immediately initiate related processes to promote some policy changes. Hester Peirce specifically pointed out that two significant policies related to cryptocurrency ETFs may be reassessed, including physical purchases and redemptions, and allowing Ethereum ETFs to stake. She noted that unlike during Gensler's tenure, where there was almost no possibility, she is optimistic about driving these changes under the new government leadership. 'I suspect these issues are likely to be formally raised in the early stages.' As Gensler is set to step down on January 20, she believes the direction of progress on related issues will become clearer. She mentioned, 'When the committee shifts from a majority opposed to a majority supporting certain decisions, things will go much more smoothly.' This remark was quoted and shared by Bloomberg ETF analyst Eric Balchunas, who specifically noted that Hester Peirce smiled happily when she said it. Hester Peirce discussed the approval of physical purchases and redemptions for Bitcoin ETFs, as well as the staking feature for Ethereum ETFs, stating that these features make products more 'practical' for investors, seemingly hinting that the approval of these reforms may be imminent. "If it changes from a majority of commissioners who don't want things to go through to a majority of commissioners who do want things to go through, then yeah, it's easier." – Peirce (who looks happy, smiling as she says it) re approving in-kind cr/rd in btc ETFs as well as… https://t.co/YpXfQ1PFSo — Eric Balchunas (@EricBalchunas) December 20, 2024 Expressing optimism for a clear regulatory framework However, Hester Peirce warned that more radical reforms are expected to gradually unfold after Paul Atkins is confirmed as SEC Chairman. She stated: We should consider these issues in a phased manner. Or rather, can we establish a framework, such as no-action letters or exemption orders, while providing clear guidance early on, for example, 'You know, some things actually don't belong to securities trading.' She further pointed out: The coming weeks and months will see many adjustments and changes, but I believe we can achieve some early progress. If by the end of 2025, people can reach a state where 'the regulatory framework has been improved,' they clearly understand and comply with the rules, and spend more time discussing technology and its potential, that would make me very happy. Due to the tug-of-war between regulators and the cryptocurrency industry over the past few years, and the endless Wells notices accusing 'non-compliance' of cryptocurrency companies potentially involving violations of securities laws, any termination of practices threatening enforcement actions could win the approval of the crypto community. Hester Peirce's remarks indicate that she is beginning to feel optimistic about this shift. In line with VanEck's 2025 Top 10 Predictions It is worth mentioning that U.S. asset management giant VanEck, in its 10 predictions for the cryptocurrency field in 2025, includes one that Ethereum spot ETFs will allow staking, and both BTC and ETH spot ETFs will allow physical purchases/redemptions. The organization predicts that under the leadership of a crypto-friendly SEC chairman, multiple new cryptocurrency spot ETFs will be approved, including Solana ETF, as well as significant changes to the aforementioned ETFs. Additionally, there will also be the SEC or Congress abolishing the current accounting regulations SAB 121 pushed by the SEC, paving the way for banks and brokers to custody spot cryptocurrencies, and the federal government or at least one U.S. state (possibly Pennsylvania, Florida, or Texas) establishing Bitcoin reserves, etc. Further reading: VanEck's 2025 Top 10 Predictions: Bitcoin reaching a mid-term peak in Q1 next year, Solana spot ETF approval, DeFi innovation at an all-time high... Related reports: The scale of U.S. Bitcoin ETFs officially surpasses gold ETFs, overturning gold's 20-year dominance ETH hits $4100 for the highest in three years! Analysts predict it could break $5000 next year, with Ethereum ETF's staking being key Trump officially nominates Paul Atkins as the new SEC chairman, what is his stance on cryptocurrency? Bitcoin hits $99,000 'Crypto Mama Hester Peirce: ETF physical redemption and staking are expected to be initiated! U.S. crypto regulation may become clearer' This article was first published on BlockTempo (the most influential blockchain news media).