SEC chair seems doubtful on Ethereum coin, whether it is security
Gary Gensler refused to comment on the second biggest crypto asset Ethereum, whether it is a security or not.
Ethereum is the second biggest crypto asset in this industry and also Ethereum is the top first ranked crypto asset in terms of smart contract feature enabled blockchain Networks. However, there are numbers of blockchain networks available in this crypto industry but the majority of them are not getting support like Ethereum. These things are an indication that Ethereum has more trust than any other coin after Bitcoin.
Gary Gensler is Chairman of the US securities and exchange commission (SEC). SEC Agency is responsible to handle all the regulations and investigations against the spot crypto and stock industry.
On 10 January, Gary Gensler appeared in an interview with CNBC. In the interview, Gary discusses the laws of securities with Andrew Sorkin.
Sorkin tried to force Gary to answer whether Ethereum is secure or not.
“Can you explain your view of whether Ethereum is a security or not—I think you’ve actually suggested it isn’t, but then while you believe that Ripple is a security, and I know there’s an ongoing lawsuit related to Ripple, but could you speak to the Ethereum issue?”
On this, Gary ignored the question and said that he will not pass any comment against any particular coin. And also said that the SEC agency is not going to join a public forum to talk about particular things.
It is worth noting that Jay Clayton was SEC chairman before Gary Gensler. And Jay said that Ethereum was not security, at his working time in the SEC agency.
At the end, Gary stated about the regulatory matters on the crypto industry and claimed that there are huge numbers of crypto assets, which are Securities and all those crypto assets needed to register with the SEC agency.
“Unfortunately, way too many of these are trying to say ‘well, we are not a security, we are just something else.’ I think the facts and circumstances suggest that they are investment contracts, they are securities, and they should register.”
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