According to Foresight News, Consensys has expressed concerns that if the U.S. Securities and Exchange Commission (SEC) designates Ethereum as a security, it could lead to significant economic and employment losses. The company and developers' years of work would be wasted, and billions of dollars in economic value could be destroyed, potentially leading to widespread unemployment among U.S. workers.
In a previous report by Foresight News, it was revealed that Consensys has filed a lawsuit against the U.S. SEC. The company hopes that the federal court will declare that Ethereum is not a security. Any investigation based on the view that Ethereum is a security is a 'violation' of the company's Fifth Amendment rights and the Administrative Procedure Act. Consensys argues that MetaMask is not a broker as defined by federal law, and its pledge service does not violate securities laws. The court should prohibit the U.S. SEC from investigating or initiating enforcement actions related to MetaMask's transactions or pledge functions.
