TLDR
- VanEck met with the SEC Crypto Task Force to discuss the tokenization of ETFs.
- The company sought clarity on how blockchain technology can be integrated into traditional fund structures.
- VanEck requested guidance on how existing regulations apply when fund shares are represented as blockchain tokens.
- The discussion covered the challenges of managing liquidity risks related to liquid staking tokens within ETFs.
- VanEck emphasized the need for updated rules to address decentralized finance platforms and tokenized securities.
VanEck met with the U.S. Securities and Exchange Commission’s (SEC) Crypto Task Force on Thursday. The meeting focused on how tokenization and staking could be integrated into regulated fund structures. VanEck, with $132.9 billion in assets under management as of June 30, 2025, aims to bring blockchain technology to traditional funds.
Tokenization of ETFs and Regulatory Considerations
VanEck explored the possibility of tokenizing exchange-traded funds (ETFs) with SEC officials. The company sought clarification on how existing regulations apply to tokenized fund shares.
“How will investor protections and market structure change when fund shares are represented as blockchain tokens?” VanEck asked the task force.
The discussion also covered how blockchain systems could impact the role of issuers behind tokenized funds. VanEck wanted to understand the regulatory challenges and how traditional fund structures might adapt. The meeting highlighted the growing interest in blockchain’s potential in the ETF space.
VanEck Pushes for Clarity on Staking Risks
During the session, VanEck raised concerns about liquid staking tokens. The firm asked whether the SEC’s proposed Generic Listing Standards for Crypto-Based Exchange-Traded Products apply to staking products.
“We need clear guidance on how exchanges and issuers should manage liquidity risks tied to staking,” VanEck noted.
The discussion also explored how liquid staking tokens could be structured within ETF wrappers. VanEck requested the SEC to address these concerns in the context of regulatory clarity. The meeting emphasized the need for updated rules to manage emerging crypto products effectively.
VanEck also urged the SEC to address broader issues within the crypto ecosystem. The firm called for a review of decentralized finance (DeFi) platforms, tokenized securities, and ICOs under current securities laws. VanEck emphasized that the Advisers Act Custody Rule might need updating to cover digital asset storage and management better.
VanEck suggested Multi-Party Computation (MPC) as an effective technology for safeguarding private keys. The firm asked the SEC to consider how technology-driven custody models should be regulated.
