Jito Foundation Asserts JitoSOL Is Not a Security Amid Regulatory Shifts
Jito, a Solana infrastructure project, asserts that its token JitoSOL is not a security. This claim is outlined in the "Securities Classification Report," which details why JitoSOL does not fall under SEC oversight.
Key points from the report include:
- JitoSOL operates independently on a blockchain.
- The SEC has not accused Jito of any legal violations.
- Liquid staking tokens (LSTs) are prominent in crypto, with Ethereum hosting $26 billion and Solana $6 billion, where Jito's offering is the largest.
- The report references positive regulatory changes under the current administration.
Jito Labs aims to promote transparency and encourage other projects to clarify their regulatory status. CEO Lucas Bruder noted increased optimism among builders regarding collaboration with regulators.
The report argues that applying current federal securities laws to LSTs could hinder innovation, contradicting government goals for the U.S. as a leader in crypto.