SEC’s guidance on LSTs is the watershed moment for the crypto industry. The distinction between protocol-driven staking and programs with managerial discretion provides much-needed regulatory guidance. Liquid staking platforms on Ethereum and other chains have attracted significant institutional capital, with TVL growing beyond pre-2022 levels. This clarity should accelerate institutional adoption, as firms can now confidently deploy capital without regulatory ambiguity. With regulatory clarity, we can expect further LST's growth trajectory.