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SEC Ends Ethereum Investigation, Confirms ETH Is Not a Security

SEC Ends Ethereum Investigation, Confirms ETH Is Not a Security

The SEC's investigation into Ethereum, the world’s second largest cryptocurrency, has officially come to an end.

This was revealed on Wednesday by ConSenSys, an Ethereum developer who informed that the SEC’s Enforcement Division closed the Ethereum 2.0 investigation. This means that there can be no further charges for SEC as regards considering sale of ETH as securities transactions.

ConsenSys celebrated this news on Twitter hailing it as big win for developers building on Ethereum and technology providers. Nonetheless, they cautioned that their regulatory tussle with Gary Gensler led SEC is far from being over.

On June 7th, Consensys wrote a letter to the SEC asking if its approval of ETH ETFs in May – recognizing ETH as a commodity – would put an end to the Ethereum 2.0 probe. The response from the regulator was shared by Consensys attorney Laura Brookover highlighting quickly changing situations since when their lawsuit was filed at the end of April during its one year duration without any filing of charges.

READ MORE: Hashdex to Launch Hybrid Bitcoin and Ethereum ETF

Consensys maintained that Ethereum (ETH) is not security but rather a commodity with Ethereum being considered as a global computer platform and not an investment scheme.

But ConsenSys warned today against unlawful encroachments into people’s privacy by stating unequivocally that such actions could undermine America’s leadership in defining next generation internet technologies to enable other nations dominate the creation of tech-driven economies.

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.

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