Da Piaoliang has taken action to regulate ETH and wants to define ETH as a security.
What will it mean if the United States really defines ETH as a security?
Is it bullish or bearish?
The United States intends to define ETH (Ethereum) as a security, which has sparked widespread discussion in the currency circle. How will this change affect the market?
ConsenSys, an Ethereum infrastructure development company, strongly opposes this. They point out that Ethereum is a global computing platform and Ether is a commodity rather than a security. The company is worried that this move will lead to the loss of years of work, the loss of billions of dollars in economic value, and may even cause large-scale unemployment.
ConsenSys listed four reasons to refute the SEC's decision:
1. Historical position: The SEC made it clear in 2018 that Ethereum does not meet the standards of securities.
2. CFTC classification: The CFTC has always regarded Ethereum as a commodity.
3. Decentralized characteristics: Ethereum is decentralized and is fundamentally different from securities. Consensus
4. Mechanism transformation: ETH's transition from PoW to PoS has no direct connection with securities laws.
If ETH is defined as a security, there may be four major impacts:
1. Strengthened supervision: ETH will be subject to stricter securities regulations, which may restrict trading freedom and increase compliance costs.
2. Market uncertainty: Investor confidence may decline and capital may flow out.
3. Innovation is hindered: The speed of innovation and development in the Ethereum ecosystem may be hindered.
4. Trading restrictions: ETH may only be traded on specific, regulated trading platforms, affecting market liquidity and accessibility.
Compliance in the currency circle is an inevitable trend, but there is no need to be too anxious. Pay attention to market dynamics and rational investment is the key.
Brother Chuang is currently studying a relatively good coin, which is expected to rise by more than 30% in the short term.
I will take you to eat meat before joining us!
Don’t ask me why I don’t do it myself or take my family and friends to do it. If you ask, I will be a contemporary Lei Feng!
In the bull market, you must survive. At the same time, you must be bolder.
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Brother Chuang will not let my fans miss out in this bull market! 👈This is the truth!
