Summary
SEC chair Gary Gensler refused to comment on whether Ethereum is considered a security as the SEC reviews applications for spot Ethereum ETFs. The SEC has been delaying decisions on Ethereum ETFs and is expected to continue until May 23. Gensler has previously stated that Bitcoin is a commodity, but has not clarified Ethereum’s status. In 2018, Gensler said Ethereum is not a security, but his current stance remains uncertain.
Key Points
1. The SEC chair Gary Gensler has not clarified whether Ethereum is considered a security by the regulator, despite multiple applications for spot Ethereum ETFs being under consideration.
2. Gensler emphasized that the classification of Ethereum as a security depends on the specific facts and circumstances surrounding the token, particularly in relation to whether investors are expecting a profit based on the efforts of others.
3. The SEC’s handling of Ethereum ETF applications mirrors its cautious approach to spot Bitcoin ETFs, with delays in decision-making and a focus on the speculative nature of cryptocurrencies.