The United States is focusing on ETH. The U.S. Securities and Exchange Commission (SEC) is preparing to define ETH as a security. Once this move is passed, the platform may completely remove ETH, and at the same time, many public chains will also face strict scrutiny from the SEC.

The foreign network reacted strongly to this, and ETH fell sharply and showed a weak trend. A long time ago, the United States tried to define BTC as a security. After two years of discussion, BTC was finally defined as a commodity. There is a clear difference in the scope of regulation of commodities and securities.

First of all, securities can only be traded on securities trading platforms, such as the US Nasdaq or global stock markets, but commodities can be traded on any platform, just like you have never heard of buying and selling sweet potatoes and must be done on a specific trading platform.

More importantly, securities mean that financing is needed. Since you have the money, you must do something and put the money in a cage. Every sum of money must have a clear purpose, and what you do must be made public to everyone. How many public chains can do this at present?

At the same time, securities also mean facing the strongest supervision of the SEC. The US securities law has a strict and detailed regulatory plan, which is bound to lead to the arrest of a large number of project parties.

On the surface, defining coins as securities seems to be a bad thing, but it is mainly for the project parties. Wang Ge thinks it is a good thing for most people, at least there is no need to worry about the project parties absconding with the money.

But the project parties are all against the SEC. ConsenSys pointed out that ETH is not a security, but decentralized. The CFTC also admitted that ETH is a commodity. In short, they said a lot. The SEC said I understand, but I will continue to check.

The change in the SEC's attitude towards ETH started with its conversion from POW to POS. The conversion of ETH to POS means the centralization of computing power. In essence, the project parties are maintaining the network. They didn't know who to catch before, but now they finally found someone who came forward. The Americans want to hit this bird that came forward.

The SEC defines ETH as a security. This is not something that can be completed in a short time. It may take a long time from the draft to implementation. During this period, we should pay close attention to relevant developments, and also pay attention to the coins in our hands. Whether they are biased towards POW or POS will have an impact on the long-term value of the coin.