SEC Ends Ethereum Probe: ETH and alternative cryptocurrencies experienced a surge in value when the United States Securities and Exchange Commission (SEC) announced that it had permanently completed its investigation into Ethereum. XRP supporters are skeptical of the SEC’s move. The question is what Ether’s commodity status entails. All proof-of-stake (PoS) cryptocurrencies, including Solana, Cardano, and Polygon, are commodities.
Are Solana, Cardano, Polygon, and PoS cryptos commodities?
Solana, Cardano, and Polygon are all proof-of-stake (PoS) cryptocurrencies; following the SEC’s investigation into Ethereum, rumors arose that they would also be seen as commodities. Ether has also surpassed Bitcoin and XRP in terms of acquiring regulatory certainty. This is a significant development.
Renowned XRP investigator In an interview, Mr. Huber questioned Marc Fagel, a former securities lawyer for the SEC, on the implications of the agency’s recent classification of Ethereum as a commodity for proof-of-stake cryptocurrency initiatives. Thanks to the SEC Ends Ethereum Probe latest decision, major proof-of-stake cryptocurrencies like Solana, Cardano, and Polygon are now in the limelight. In other actions, including those against Binance and Coinbase, the SEC has asserted that Solana, Cardano, and Polygon are securities.
According to Paradigm’s government affairs head, Alexander Grieve. It is not common for the SEC to single out a firm after an inquiry has been closed. There is “absolutely no need” for the SEC to do so. Despite being a part of the probe, the Ethereum Foundation never received a letter. Marc Fagel acknowledged that sending a closure letter to one party is highly unusual when anything is still happening to another party in an investigation.
Will Consensys Drop SEC Lawsuit?
Consensys disclosed that the Securities and Exchange Commission Enforcement Division has concluded its examination into Ethereum 2.0. This information was provided in a letter that SEC Assistant Director Kristin M. Pauley sent on June 18. The business declared it a massive victory for Ethereum developers, technology providers, and industry participants.
This action is conducted in response to Consensys’s letter to the SEC. In an attempt to obtain confirmation. ETH’s position as a commodity was the primary factor that led to the SEC’s approval of the ETH exchange-traded fund (ETF) in May.
Consensys has stated that it will proceed with its challenge to the SEC in the litigation. The company intends to obtain a declaration from the SEC stating the provision of the user interface software. MetaMask Swaps and Staking does not constitute a violation of the laws governing securities.
Also Read: Bitcoin and Ethereum Led $130M Single-Day Crypto Liquidation
