US SEC Drops Inquiry on Ether’s Security Status
The SEC has ended its investigation into whether Ethereum’s Ether token is a security, according to Ethereum developer Consensys.
“The Enforcement Division of the SEC has notified us that it is closing its investigation into Ethereum 2.0,” Consensys said in an X post on June 19.
“This means that the SEC will not bring charges alleging that sales of ETH are securities transactions.” The developer cheered the SEC’s decision as a major victory for everyone involved in Ethereum’s development, technology, and industry.
Following the SEC’s approval of Ethereum spot ETFs last month, Consensys sent a letter to the SEC, saying these funds were based on ETH being classified as a commodity. It inquired about the implications of this decision on the agency’s ongoing investigation.
ETHEREUM SURVIVES THE SEC.
Today we’re 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.
This means that the SEC…
— Consensys (@Consensys) June 19, 2024
On X, Consensys attorney, Laura Brookover, shared both the SEC’s official response and a detailed company statement regarding the SEC’s decision.
“Things have changed remarkably fast since we filed our lawsuit against the SEC in late April, culminating in today’s development. After more than a year, the Ethereum investigation is finally over with no charges against anyone,” she said.
The SEC’s letter didn’t state anything definitive about Ethereum. It avoided classifying it while using typical legal wording to basically indicate that the end of investigation doesn’t mean the agency agrees with Consensys’ statements.
In April, Consensys sued the SEC over
