ConsenSys, a leading provider of enterprise blockchain software, has had its lawsuit against the U.S. Securities and Exchange Commission (SEC) dismissed by a Texas court. The lawsuit, filed in April 2023, sought to have the court declare that ETH, the native cryptocurrency of the Ethereum blockchain, is not a security. The SEC has taken the position that ETH is a security, and has used this classification to bring enforcement actions against companies that have sold ETH without registering with the agency. ConsenSys argued that ETH is not a security because it is not an investment contract, and it does not meet the four prongs of the Howey test, which is used to determine whether an investment is a security. The SEC argued that ETH is a security because it is an investment contract, and it meets the four prongs of the Howey test. The court dismissed the lawsuit without prejudice, meaning that ConsenSys could refile the lawsuit at a later date. The court did not rule on the merits of the case, and it is not clear whether or not the court believes that ETH is a security.