Key Points:
The SEC investigation into Ethereum 2.0 has now ended a major win for the blockchain industry.
Consensys prompted the decision through a letter linking spot Ether ETF approvals to the investigation's closure.
Consensys announced today that the SEC investigation into Ethereum 2.0 has been closed, a decision lauded as a significant victory for the blockchain industry.
SEC Investigation into Ethereum 2.0 Now Ended
The firm shared the news on June 19 via an X post, highlighting the implications for Ethereum developers and industry participants.
"The Enforcement Division of the SEC has notified us that it is closing its investigation into Ethereum 2.0," Consensys stated. "This means that the SEC will not bring charges alleging that sales of ETH are securities transactions." The company emphasized that this outcome represents a "major win" for everyone involved with Ethereum.
Consensys detailed that the SEC's decision followed a letter the company sent on June 7. The letter requested confirmation that the SEC's approval of spot Ether exchange-traded funds (ETFs) in May, which was based on the premise that ETH tokens are commodities, would lead to the end of the investigation. The approval of these ETFs, while not final, played a crucial role in the SEC’s decision to close the investigation.
Despite this positive development, Consensys acknowledged that the pursuit of clear regulatory guidelines continues, particularly regarding services such as MetaMask Swaps and Staking. The company is still seeking broader clarity from the SEC on cryptocurrency regulations.
Continued Regulatory Clarity Sought for Ethereum Services
The SEC's decision marks a significant milestone for Ethereum and its community. The closure of the SEC investigation into Ethereum signals that the agency does not view Ethereum sales as securities transactions, providing a sense of security and assurance for developers and industry participants. It is expected to foster the continued growth and development of Ethereum 2.0.
Earlier this year, the SEC issued subpoenas to multiple companies in an attempt to classify ETH as a security, according to a March report by Fortune. In April, Consensys sued the SEC, alleging that the regulator intended to seize control over the future of cryptocurrency.
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