Ethereum

Ongoing Conflict Between SEC, Ethereum, and Consensys

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The Securities and Exchange Commission (SEC) remains engaged in a fierce battle against the blockchain world, despite a recent shift in public perception. In June, Consensys announced that the SEC was ending its investigation into Ethereum 2.0 (ETH-USD). Many saw this as a sign that the SEC might be easing its policy. However, Cointelegraph reports that the SEC’s aggressive approach is still alive and well.

SEC’s Hostility Continues

Contrary to popular belief, the SEC is not backing down. The SEC recently rejected a proposed Ethereum spot exchange-traded product (ETP), showing that it is still firmly opposed to some blockchain innovations. The SEC continues to pursue legal action against key players like Consensys and Uniswap (UNI-USD). According to CoinDesk, the SEC’s strategy is to classify many tokens as securities, which requires blockchain developers to follow strict regulations.

Vice presidential candidate JD Vance criticized this approach, saying it could push people toward riskier investments like memes rather than more useful blockchain projects. This criticism highlights a problem with the SEC’s current methods.

Legal setbacks for the SEC

The SEC’s recent legal troubles have added to the confusion. A judge in the SEC vs. Binance case found the SEC’s allegations to be weak and poorly supported. The decision, reported by The Block, shows that some judges are starting to question the SEC’s approach.

And after?

The future could bring big changes in the SEC’s strategy. Republican presidential candidate Donald Trump has criticized the SEC and promised to support blockchain innovation if elected. Bloomberg News notes that Trump’s stance has received support from major figures in the crypto world, such as Marc Andreessen and Ben Horowitz.

Even if Trump wins, there is a chance that current SEC Chairman Gary Gensler will remain as commissioner, continuing his tough stance on cryptocurrencies, according to CoinTelegraph. This possibility means that the fight for clearer rules on cryptocurrencies is far from over.

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