Gary Gensler Doesn’t Say If He Finds Eth Is a Security or No

by in Cryptocurrency News

Gary Gensler Ethereum securities

The US SEC chair Gery Gensler was asked whether he finds Ethereum is a security or not during a recent Squawk Box program. To the question of his views on Ether and XRP, which the regulator argues is security, Gensler said that he wasn't going to speak about a certain project during a public forum.

Related: Ripple CEO Says 2021 Was the Strongest Year for the Company

Gensler mentioned that the SEC is a five-member commission that is a civil-law enforcement agency and the members don't get involved in discussions of any project publicly.

However, speaking generally, the SEC chair said it's within securities laws when any project raises funds from the public and the public is the anticipation of the capital, relying on promoters and groups efforts. In those cases, Gensler said there is a need for public information in order to protect the investors.

Gensler said what’s new in the market is new ways of trading and technology, but the idea of basic protection and disclosure of fundraising details is old and it’s common for public fundraising whether they are cryptocurrencies, SPACS (Special-purpose acquisition companies) or anything else.