MicroStrategy Executive Chairman Michael Saylor has made a bold statement against Ethereum, saying the world's largest altcoin is a crypto security and not a commodity. His comments on ETH were made on Thursday, May 2, during a talk at the MicroStrategy World 2024 conference.
Michael Saylor attacks ETH
In addition to attacking Ethereum and calling it a security, Michael Saylor added that it is highly likely that the U.S. Securities and Exchange Commission (SEC) will not approve a Spot Ethereum ETF. His comments came just 20 days before the May 23 deadline for the SEC to approve or deny Ethereum ETF spot applications.
He further predicted that other cryptocurrencies lower down the hierarchy, such as BNB, Solana (SOL), XRP, and Cardano (ADA), would also be classified as unregistered securities.
Mr. Thaler emphasized:
“None of this would be included in a spot ETF, and none of that would be accepted by Wall Street.”
He was adamant that Bitcoin (BTC) needs to stand alone to be fully accepted by institutions. He named BTC the “one universal” crypto asset suitable for institutional investment, saying, “There will be nothing better.”
The MicroStrategy founder is known for his unwavering focus on Bitcoin. Saylor's remarks came shortly after MicroStrategy announced it would add $1.65 billion worth of BTC to its corporate reserves in the first quarter.
Two days earlier, MicroStrategy also announced MicroStrategy Orange, a Bitcoin-based decentralized identity (DID) product. In addition to holding a large amount of BTc on its balance sheet, the company has also made strong efforts to strengthen the Bitcoin ecosystem.
The future of Ethereum ETFs in the US
Some of the top financial firms, including BlackRock and Fidelity, are pushing for spot Ethereum ETFs, but market analysts have recently toned down their expectations for approval. One of the major concerns is recent comments from the SEC that seek to treat it as a security.
However, some of the top companies in the crypto industry want to protect Ethereum at all costs. ConsenSys filed a lawsuit last week with the US SEC, hoping to declare it not a national security.
As the SEC investigation into Ethereum progresses, it is clear that the Spot Ethereum ETF could face obstacles in the near future, leading to further legal battles.
A spot market Ethereum ETF would offer Wall Street firms and investors a way to gain indirect exposure to ETH, bypassing the need to operate a crypto exchange or manage a digital wallet. . Earlier this week, Hong Kong became the first jurisdiction to approve a Spot Ethereum ETF.
