SEC's Gary Gensler Dodges Questions About Whether Ethereum Is A Security

U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler gave a direct response during a congressional oversight hearing on Tuesday when asked whether Ether, the native cryptocurrency of the Ethereum blockchain, is a security or a commodity. did not give

See related story: CFTC Chairman Calls Ethereum A Commodity In Contrast To SEC Chairman Gensler’s Position

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Gensler addressed the House Financial Services Committee (HFSC) in person for the first time since October 2021. This was before the collapse of FTX and crypto-friendly banks like Signature, Silicon Valley Bank, and Silvergate.
Gensler failed to give a clear and direct answer to the chairman of the committee, Rep. Patrick McHenry, who asked whether Ether, the second-largest cryptocurrency by market capitalization, was a security. bottom.
“Actually, all securities are commodities under the Commodity Exchange Act. answered.
Regulators and prosecutors have expressed contrasting views on how Ether is classified. The New York Attorney General recently said it should be a security, but Commodity Futures Trading Commission Chairman Rostin Behnham insisted it was a commodity.
Gensler has hinted many times that cryptocurrencies based on proof-of-stake consensus mechanisms such as Ether may be considered securities.
In May 2022, Gensler publicly labeled Bitcoin, the world’s largest cryptocurrency by market capitalization, as a commodity.
Gensler told the HFSC on Tuesday that the SEC needs more resources and bodies to regulate the crypto-asset class.
Late last month, Gensler testified before the Subcommittee on Financial Services and General Government, asking Congress for $2.4 billion in funding to step up its crackdown on cryptocurrencies.