According to JPMorgan strategists, US lawmakers may classify Ethereum in a new category to avoid classification as a security and to protect investors.
Nikolaos Panigirtzoglou “To avoid defining Ethereum as a security, it is possible to create a new category specific to ETH and other cryptocurrencies,” said JPMorgan strategists led by JPMorgan in a report shared on June 15. According to strategists, this category will include more restrictions and investor protection than envisioned for commodities, while less demanding than the criteria required for securities.
Hinman Says Ethereum Is Not a Securities
This report, shared by JPMorgan strategists, came to the fore after the Hinman documents published in the ongoing lawsuit between the SEC and Ripple.
Hinman documents, the SEC’s director of corporate finance Bill Hinman Some of the speeches made by In his speech, Hinman mentioned that Ethereum is not a security because it is a sufficiently decentralized blockchain network. Published documents showed that at the time, some SEC officials expressed concerns about the mention of Ethereum in their comments to the draft talk.
The SEC Chair, who recently testified before the House Financial Services Committee Gary Gensler , during the five-hour session, declined to specify whether Ethereum would be considered a security. Gensler in February New York MagazineIn a statement to , he said that everything except Bitcoin is a security.
