A new day in the cryptocurrency market brought a new regulatory development, as Ethereum emerged victorious as the SEC closed its investigation into the cryptocurrency. This decision by the regulator means that it will not file charges alleging sales of ETH as securities transactions, a decision that echoes recent approvals of ETFs based on the leading altcoin as a commodity.
A new day in the cryptocurrency market brought a new regulatory development, as Ethereum emerged victorious as the SEC closed its investigation into the cryptocurrency. This decision by the regulator means that it will not file charges alleging sales of ETH as securities transactions, a decision that echoes recent approvals of ETFs based on the leading altcoin as a commodity.
The closure of the investigation, confirmed by consensus, the company that developed MetaMask, marks a significant victory for developers and contributors. Ethereum 2.0, an upgrade aimed at improving scalability and sustainability through proof-of-stake mechanisms, was at the center of this regulatory scrutiny.
Alex Dovbnya
Notably, Charles Hoskinson, co-founder of Ethereum and creator of Cardano, supported Consensys’ announcement. Hoskinson, whose own project, Cardano, has previously faced inquiries from the SEC regarding its ADA token, reposted the news and gave his silent co-signature.
Cautiously optimistic
The timing of the Consensys news, amid reduced trading volumes due to the closure of US markets, suggests an attempt to boost market confidence. Despite speculation about the inevitability of the SEC’s decision following the ETF’s approval, Consensys’ statement provided a notable boost to altcoin markets in recent hours.
However, market watchers are waiting for the reopening of US exchanges on Thursday to assess the full impact on broader market dynamics.
Tomiwabold OlajideWhile the SEC’s move is seen as positive for Ethereum, uncertainties remain around MetaMask’s pending staking process, suggesting continued regulatory challenges.
In short, Ethereum’s removal of regulatory hurdles, backed by industry figures like Hoskinson, could be crucial in shaping future developments in blockchain technology and investor confidence.
