{"id":234280,"date":"2024-06-19T23:05:12","date_gmt":"2024-06-19T23:05:12","guid":{"rendered":"https:\/\/michigandigitalnews.com\/index.php\/2024\/06\/19\/sec-rules-ethereum-is-not-a-security-consensys-confirms\/"},"modified":"2025-06-25T17:16:40","modified_gmt":"2025-06-25T17:16:40","slug":"sec-rules-ethereum-is-not-a-security-consensys-confirms","status":"publish","type":"post","link":"https:\/\/michigandigitalnews.com\/index.php\/2024\/06\/19\/sec-rules-ethereum-is-not-a-security-consensys-confirms\/","title":{"rendered":"SEC rules Ethereum is not a security, Consensys confirms"},"content":{"rendered":"<p> [ad_1]<br \/>\n<br \/><img decoding=\"async\" src=\"https:\/\/readwrite.com\/wp-content\/uploads\/2024\/06\/14da88dd-746e-462a-9366-248c9938ad3f-900x514.webp\" \/><\/p>\n<div>\n<p>The United States Securities and Exchange Commission (SEC) has closed its investigation into whether Ethereum (ETH), should be classified as a security.<\/p>\n<p>Ethereum developer Consensys announced in June 19 <a href=\"https:\/\/twitter.com\/Consensys\/status\/1803230653120659641\">through an X post<\/a> that the SEC\u2019s Enforcement Division had notified them about the conclusion of the investigation into Ethereum 2.0. The post reads:<\/p>\n<blockquote>\n<p>Today we\u2019re happy to announce a major win for Ethereum developers, technology providers, and industry participants: the Enforcement Division of the SEC has notified us that it is closing its investigation into Ethereum 2.0.<\/p>\n<p>This means that the SEC will not bring charges alleging that sales of ETH are securities transactions.<\/p>\n<\/blockquote>\n<h2>A sigh of relief<\/h2>\n<p>Consensys had previously sent a letter to the SEC on June 7, requesting clarification on the status of the investigation, citing <a href=\"https:\/\/readwrite.com\/sec-approves-ethereum-etf-on-nasdaq-nyse-cboe\/\">the agency\u2019s approval<\/a> of spot <a href=\"https:\/\/readwrite.com\/tag\/ethereum-etf\/\">Ethereum exchange-traded funds (ETFs) <\/a>in May. Such an approval purportedly implied that ETH was considered a commodity.<\/p>\n<p>Laura Brookover, senior counsel at Consensys, <a href=\"https:\/\/twitter.com\/laurabrooksie1\/status\/1803238438772076809\">shared the SEC\u2019s response letter<\/a>, confirming that the agency did not intend to recommend an enforcement action. The SEC has not yet provided an official comment on the matter.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Link to the SEC\u2019s letter: <a href=\"https:\/\/t.co\/1CGbnrtQy0\">https:\/\/t.co\/1CGbnrtQy0<\/a><\/p>\n<p>\u2014 Laura Brookover (@laurabrooksie1) <a href=\"https:\/\/twitter.com\/laurabrooksie1\/status\/1803238438772076809?ref_src=twsrc%5Etfw\">June 19, 2024<\/a><\/p>\n<\/blockquote>\n<p>In March, reports emerged that the SEC <a href=\"https:\/\/fortune.com\/crypto\/2024\/03\/20\/sec-gary-gensler-ethereum-security-commodity-crypto-foundation\/\">had issued subpoenas to several companies<\/a> in an attempt to label ETH as a security. Still, <a href=\"https:\/\/cointelegraph.com\/news\/consensys-lawsuit-sec-ethereum\">Consensys\u2019 lawsuit against the SEC<\/a> over its notice suggesting that the MetaMask crypto wallet may have violated securities laws is still ongoing.<\/p>\n<p>The lawsuit claimed that the SEC and its chairman, Gary Gensler, had believed ETH to be a security <a href=\"https:\/\/www.foxbusiness.com\/markets\/new-court-filings-show-sec-chair-gensler-believed-ethereum-was-security-for-at-least-year\">since early 2023<\/a>, with the SEC\u2019s Division of Enforcement Director, Gurbir Grewal, approving a formal order of investigation on March 28, 2023.<\/p>\n<p>The resolution of the SEC\u2019s investigation into Ethereum\u2019s security status is expected to provide clarity and relief for the Ethereum community and the broader <a href=\"https:\/\/readwrite.com\/tag\/cryptocurrency\/\">cryptocurrency industry<\/a>.<\/p>\n<\/p><\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/>[ad_2]<br \/>\n<br \/><a href=\"https:\/\/readwrite.com\/ethereum-security-commodity-sec-lawsuit-investigation\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>[ad_1] The United States Securities and Exchange Commission (SEC) has closed its investigation into whether Ethereum (ETH), should be classified as a security. Ethereum developer<\/p>\n","protected":false},"author":1,"featured_media":234281,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"footnotes":""},"categories":[152],"tags":[],"_links":{"self":[{"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/posts\/234280"}],"collection":[{"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/comments?post=234280"}],"version-history":[{"count":0,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/posts\/234280\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/media\/234281"}],"wp:attachment":[{"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/media?parent=234280"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/categories?post=234280"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/tags?post=234280"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}