According to the latest news from the US, five commissioners of the Securities and Exchange Commission (SEC) will testify before the House Financial Services Committee next week. This comes at a time when SEC Chairman Gary Gensler is under investigation for improper hiring practices. Market analysts are warning that the debate over Ethereum’s security status could resurface during these testimonies.

All SEC Commissioners to Testify

Fox Business correspondent Eleanor Terret was the first to report that all of its members will testify before the SEC next week. It will be the first time since 2019 that all five SEC members will appear together before the House Financial Services Committee. SEC Chairman Gary Gensler will also testify in a separate hearing next Wednesday.

Reports in recent weeks allege that Gary Gensler took political affiliation into account in his hiring process, in violation of federal law. Legislators are concerned that the agency may have violated the Civil Service Reform Act of 1978 by favoring people with certain political views. Some sources suggest that SEC Chairman Gensler could lose his position as a result of these investigations.

Former SEC officials are also expected to testify against the regulator in the latest hearing on cryptocurrency regulation. Those scheduled to testify include Robinhood Markets Chief Legal Officer Dan Gallagher and Quinn Emanuel Urquhart & Sullivan LLP partner Michael Liftik. Both men have strong ties to the SEC.

Gallagher served as SEC Commissioner from 2011 to 2015, while Liftik served as Assistant Chief of Staff to former SEC Chair Mary Jo White and held various positions at the agency.

Will Ethereum's Security Debate Continue?

Cryptocurrency attorney MetaLawMan has reacted to the upcoming SEC testimony, expressing surprise that all the commissioners will be present. In a social media post, he wondered whether House Financial Services Committee Chairman Patrick McHenry would ask SEC Chairman Gary Gensler again whether Ethereum (ETH) is a security or a commodity.

Crypto lawyer MetaLawMan said: “Wow—all 5 SEC Commissioners! How about Patrick McHenry asks Gary one last time whether ETH is a security or a commodity? We can expect some good jokes from Ritchie Torres. Hester Peirce could be an unofficial audition for the top job if… well, you know. Good job...”

Additionally, according to MetaLawMan, SEC Commissioner Hester Peirce could be an unofficial candidate for the SEC's top position in the event of a potential replacement.

The Ethereum price has been on a downtrend recently, trading around $2,300 recently. Some market analysts believe that the ETH price has reached a bottom and that the accumulation of large investors could lead to further increases in the future.

The testimony of all SEC commissioners next week is seen as an important development in terms of cryptocurrency markets and regulatory policies. In particular, the uncertainty regarding the legal status of Ethereum is being closely followed by investors and industry representatives. The SEC's approach and the statements of the commissioners may determine the future of cryptocurrency regulation.

  • Five SEC commissioners are set to testify before Congress next week.

  • Ethereum's security status may be on the agenda again.

  • There are claims that Gary Gensler may lose his position.