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Ethereum Off The Hook: SEC Chair Rules ETH A Commodity, Not A Security

Bitcoinist

Bitcoin News / Bitcoinist 18 Views

According to CNBC, SEC Chair Paul Atkins said the Commission treats Ethereum like Bitcoin. He made it clear that securities laws won’t apply to the digital coin. He also noted that this view remains informal until a formal rule‑making is complete.

In his words, “Similar to Bitcoin, the SEC has stated informally more than formally that ether is not a security.” That statement gave many investors relief and drove fresh buying by big firms.

Agencies Seek Clarity

Based on reports, the SEC’s Crypto Task Force has held multiple roundtable talks this year. Industry leaders joined to discuss which federal laws apply to crypto.

Under Gary Gensler, the agency probed tokens for possible securities status, but never gave a straight answer on ether. Now Atkins says Ethereum is seen as a commodity.

The Commodity Futures Trading Commission has long said Ether and Bitcoin are commodities. Yet uncertainty lingers around whether staking rewards count as income or tokens.

Institutional Appetite For ETH Up

Major companies are stacking up Ether on their balance sheets. BTCS, SharpLink Gaming and Gamesquare lead the pack. They’ve added millions of dollars’ worth of ETH in recent weeks.

One startup, Ether Machine, plans a public debut backed by $1.6 billion in Ethereum capital. That figure shows how confident some treasury teams have become.

ETF Flows Break Records And Prices Follow

ETH‑focused funds have smashed their daily inflow records. Based on ETF data, new money into ethereum products hit an all‑time high this month.

Staking Rules Still In Limbo

The buzz around these vehicles has pushed Ether’s price to $3,639. It’s up over 24% in the last seven days. Traders say they see more room to grow if regulators stick to Atkins’ remarks.

Applications for Ethereum staking ETFs remain on hold. BlackRock filed its proposal months ago, but the SEC has delayed any green light.

Some companies worry that staking payouts could be deemed securities or income under tax laws. CFTC head Rostin Behnam continues to back the view of Ether as a commodity. But without clear SEC guidance, players in DeFi and staking pools face unanswered questions.

Featured image from GBX, chart from TradingView


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