Gensler offers insights on the future of Ethereum
Following the recent approval of spot Bitcoin ETFs, Gary Gensler, the Chair of the U.S. Securities and Exchange Commission (SEC), is expressing caution regarding Ethereum. In an interview with CNBC, Gensler discussed the potential approval of a spot Ethereum ETF in the future. While he acknowledged the approval of Bitcoin ETFs, he emphasized that this approval was specific to Bitcoin as a non-security commodity token. He refrained from providing further details on an Ethereum ETF but hinted at a distinction between Bitcoin’s commodity status and the potential classification of other cryptocurrencies, including Ethereum, as securities.
Gensler has consistently maintained that Bitcoin is a commodity and outside of the SEC’s direct jurisdiction. However, the agency has not yet officially determined the security status of Ethereum. Legal filings indicate that the SEC is inclined to view Ethereum transactions within its jurisdiction. If Ethereum were classified as a security, it could face increased regulatory scrutiny, making the approval of a spot Ethereum ETF more challenging compared to Bitcoin.
Despite Gensler’s reservations, recent legal judgments, including a federal appeals court decision that ordered the SEC to review a Bitcoin ETF application, could impact the regulatory landscape for crypto ETFs. This legal shift could have implications for Ethereum, especially considering the SEC’s prior approval of an Ethereum futures ETF.
JPMorgan Chase CEO, Jamie Dimon, also discussed the latest developments in the crypto industry during an appearance on CNBC. Dimon reiterated his belief that Bitcoin is used for illicit activities such as sex trafficking, tax avoidance, money laundering, and terrorism financing.
Interestingly, JPMorgan is listed as an authorized participant for spot Bitcoin ETFs, raising questions about the validity of Dimon’s opinions on the matter.
Source: [CNBC](https://www.cnbc.com/2021/10/19/sec-chair-gensler-hints-at-distinction-between-bitcoin-and-ethereum.html)
