SEC Doesn't Want Ethereum To Transform Banking Landscape, Says Joseph LubinEthereum co-founder Joseph Lubin ... unpacked Consensys’s decision to sue the SEC after receiving a Wells notice from the U.S. securities regulator.
“The SEC appears to have reclassified Ether as a security without telling anybody that that’s the case. They are going about a strategic series of enforcement actions rather than open discourse and clear rulemaking,” Lubin said.
Timing is suspiciousThe Consensys CEO also highlighted the upcoming deadline for the SEC to issue a decision over the approval of Ether spot exchange-traded funds (ETFs) as a driving force behind the regulator’s renewed enforcement action against Ethereum.
“We believe that there’s a flurry of activity designed to enable them to say that their action wasn’t capricious in the very likely event that they deny the Ether spot ETFs,” Lubin explained.
Lubin said the SEC had noticed how much capital had flowed into the ecosystem following the approval of spot Bitcoin ETFs:
“I think they’re concerned that so much attention and capital will flow to our ecosystem, considering it is improving enormously in terms of scalability and usability.”
Lubin also speculated that the prospect of the banking industry's customers moving assets into digital forms using decentralized finance constructs could scare many banks and other financial institutions.
“The SEC probably doesn’t want to see a wave of innovation that will really transform the landscape," he said.
zerohedge.com