JAKARTA – In a recent statement, Ripple CEO Brad Garlinghouse not only expressed support for XRP, but also expressed solidarity with Ethereum (ETH) amid the heated debate over the token's classification as a security. expressed. The statement is also a scathing criticism of the Securities and Exchange Commission (SEC) and its chairman, Gary Gensler.
“Ethereum is not a security,” Garlinghouse said in an interview with Michael Arrington. “The SEC should stop confusing and terrorizing the crypto industry with unclear and arbitrary interpretations of the law.”
Garlinghouse’s affirmation of Ethereum comes amid mounting speculation about ETH’s legal status. Key figures such as MicroStrategy founder Michael Saylor have suggested that Ethereum could be classified as an unregistered security by the SEC.
Ripple CEO’s vocal support for Ethereum was expressed at the XRP Las Vegas 2024 event. There, Garlinghouse called Gensler “nonethnic” and criticized the SEC's involvement in securities investigations into Ethereum and XRP.
Garlinghouse's statement reflects his belief that the SEC may not be able to classify ETH as a security, similar to the XRP incident. XRP and ETH are currently embroiled in a legal dispute with the SEC, stemming from a lawsuit the SEC filed against Ripple in 2020. The SEC initially classified XRP as a security, but this classification was later rejected by a federal judge.
The ambiguity in the SEC's classification of Ethereum has led to further investigation and legal action. Consensus Inc., an Ethereum software developer, sued the SEC for excessive regulatory practices. The debate over Ethereum's classification is heating up, especially with Ripple's future response to ongoing legal issues.
The recent SEC opposition to Ripple’s motion has further fueled speculation about the future of the crypto regulatory environment. Garlinghouse's support for Ethereum and criticism of the SEC demonstrates the crypto community's determination to fight against what it sees as unfair and restrictive regulations.
Impact on virtual currency investors
The debate over Ethereum's classification has had a huge impact on crypto investors. If the SEC classifies ETH as a security, it could adversely affect the price and trading of ETH. Investors may be reluctant to invest in ETH if they feel that its legal status is unclear.
On the other hand, the SEC's classification of ETH as a commodity would provide clearer regulations and encourage investment by institutional investors. This could have a positive impact on the price of ETH and the crypto market as a whole.
Tags: Technology Asset Crypto Ethereum Ripple
