‘Unlike Ethereum (ETH), Bitcoin can be the only cryptocurrency, empowered enough to be called a commodity’. Such are the statements made by Chairman Gary Gensler, Securities and Exchange Commission (SEC).
“Many of these tokens… the investing public is hoping for a return just like when they invest in other financial assets, we call securities. Many of these financial assets, crypto financial assets have the key attributes of a security,” claimed the regulator. “Some like bitcoin, and that’s the only one I’m gonna say… my predecessors and others have said, they’re a commodity,” he further declared.
The aforementioned argument became one of the highlights in the crypto industry world keeping in mind the rarity with which Chairman Gensler talk about any respective projects.
Therefore, as we discuss the security Ethereum here offers, the chief’s comment on it turns out worth mentioning: “We don’t get involved in these types of public forums talking about any one project, one possible circumstance or give legal advice over the airwaves that way.”
As per the recent reports, Be[In]Crypto informed that Gensler is making in all the efforts to put forward a proposal to the Commodity Futures Trading Commission (CFTC) in order to nullify the argument between “commodity token” and “security token”.
Earlier, CFTC Chair Rostin Behnam had stated that bitcoin and Ethereum are commodities, implying the agency’s jurisdiction over the virtual assets.
The need to make a deal with CFTC arose as CFTC chairperson Rostin Behnam mentioned both bitcoin and Ethereum as commodities, marking the company’s authority over the digital property.
Additionally, Senators Kirsten Gillibrand and Cynthia Lummis brought in the first huge two-way legislation for digital properties i.e., for both bitcoin and Ethereum.
Gensler, who’s experienced as a previous chief of CFTC as well, thus is currently taking the initiative ahead to create a “memorandum of understanding” on crypto management with CFTC.
Alongside, claimed Gensler: “There are two great market regulators in this country.” Nevertheless, he continued referring to certain digital assets as “highly speculative asset class.”