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A professor at New York University suggested that the crypto industry is on the verge of tectonic shifts associated with the possible recognition by the US Securities and Exchange Commission (SEC) of the second largest cryptocurrency by capitalization security.
Nouriel Roubini fully shares the position of SEC Chairman Gary Gensler:
“ETH is a security despite all the self-serving claims that the Ethereum whales have been spewing out over the last decade! A bunch of ETH billionaires claim it’s not a security. However, the SEC’s Gensler proved that proof-of-stake crypto tokens can be securities.”
Previously, Roubini has already expressed his position, suspecting the co-founders of the Ethereum network of deceit.
“The Ethereum ICO was just a scam to fill the pockets of a small group of insiders, including Vitalik Buterin. This was not an ordinary and fair sale, but a scam aimed at pretending that ether is not a security, although in fact it is, ”said Roubini.
At the end of February, the head of the SEC, Gary Gensler, in an interview for New York Magazine, said that the ether can be classified as a security. The official explained to reporters that cryptocurrencies, other than the PoW inherent in the Bitcoin network, are created by a group of entrepreneurs with the aim of making a profit by selling them to intermediaries.
At the same time, the proposed assets, in their inner essence, are not much different from ordinary shares, the professor is convinced. For example, the transition of Ethereum from Proof-of-Work (PoW) to Proof-of-Stake (PoS) assumes that the weight and vote of the user in the system is determined by how much asset you have on hand. By analogy with stocks: the more ETH you have, the more significant your position in the system, the more powerful your word is. From a legal point of view, such assets are securities and fall under the regulation of the SEC.
“In many ways, it’s the same as with stockholders of public companies who hope to see their investments grow over time,” Gary Gensler explained his argument.
In March, the bt-crow.com portal published a detailed review of the possible reasons for recognizing ether as a security, and how this may affect the entire cryptocurrency industry.
#Ether #security #ICO #scam