SEC Sues Consensys Over MetaMask Staking, Broker Allegations

The SEC sued Consensys on Friday, alleging its MetaMask wallet acted as an unregistered securities broker and that its Swaps and Staking products violated federal securities laws. The suit also targets Ethereum staking services Lido and Rocket Pool, with the SEC treating their stETH and rETH liquid staking tokens as unregistered securities. The SEC said at least 5 million of the more than 36 million transactions MetaMask facilitated over four years involved "crypto asset securities." Consensys said it "fully expected the SEC to follow through" and called the action regulatory overreach, while saying it will continue its separate Texas case.