Famous Bitcoin backer Michael Saylor said something important at the yearly Bitcoin For Corporations event: He doesn’t trust companies like Ethereum and Ripple to accept many cryptocurrencies. Saylor, Executive Chairman of MicroStrategy, made his point clear: Wall Street officials see many alternative cryptocurrencies as stocks based on crypto assets that haven’t been registered yet.
You could see the writing on the wall when the spot ETF of Bitcoin was approved in January. By the end of May, you’ll know that Ethereum is not going to be approved, and when Ethereum is not approved this summer, it’ll be very clear to everyone that ETH is deemed a crypto asset security, not a commodity.
Michael Saylor, MicroStrategy Executive Chairman
Saylor had a lot of different ideas. Some of them were Ethereum, the second-largest cryptocurrency by market value, and other well-known cryptocurrencies like Solana, Ripple, and Cardano. Saylor says that the close watch of officials makes it hard for institutions to use these assets in a big way.
While this claim is being made, more people are trying to get spot Bitcoin exchange-traded funds (ETFs) backed by Ethereum. But problems with the law have slowed things down. For example, the U.S. Securities and Exchange Commission (SEC) has slowed the filing of many spot ETH ETFs from big companies like BlackRock, Fidelity, and Grayscale.
Michael Saylor’s Insights: SEC’s Stricter Stance on Ethereum and Its Impact on the Crypto Industry
The SEC has recently become stricter on Ethereum as a matter of law, as shown by its ongoing war on the crypto industry as a whole. Some people say that tokens like ETH don’t follow the rules that are in place for trade right now. It is said that Gary Gensler, the chair of the SEC, has considered Ethereum as a security for at least a year.
More attention from the SEC has led to important steps, like sending Wells warnings to big Ethereum players like Consensys and decentralized finance (DeFi) giants like Uniswap. This means official investigations into possible rule violations in the Ethereum ecosystem have begun.
Regulators are still keeping a close eye on Ethereum and other cryptocurrencies. This shows how hard it is for the crypto business to change to new rules. Because regulations aren’t always clear, people in the industry will likely keep talking about how to classify and control different crypto assets. These discussions will have a big effect on the future of the business.
