Alex Thorne, head of research at Galaxy Research, raised concerns about the possibility

Alex Thorne, head of research at Galaxy Research, raised concerns about the possibility of the SEC classifying staked Ethereum as a security. Thorne’s speculation follows growing expectations that the SEC could soon approve exchange-traded funds (ETFs) for Ethereum.

“If the speculation about the SEC’s 180 on ETH ETFs is true, I think they are trying to make the connection between “ETH” which is not a security and “ETH” (or even worse, “staking”). as a service ETH” ).” ) as a guarantee.”

Thorne suggested the strategic pivot toward approving an ETF could be “fairly consistent” with previous court cases.

“(…) as well as with reports on their various investigations, possibly allowing the SEC to approve Ethereum ETFs while maintaining their previously expressed/argued opinions.”

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In response to Thorn’s question

source: Commercial franchise

Thorne wasn’t “sure” but responded to this societal concern by pointing out that ETF-backed loans typically have limits, which could provide a comparable benchmark. However, he also added that European exchange traded products (ETPs) offer staking services.

Historically, the SEC has sought to classify Ethereum as a security, a trend that continues, as evidenced by a recent report from Fox Business producer Eleanor Therrit.

Terrett, citing court documents filed by ConsenSys on April 29, noted that the SEC chairman and Gary Gensler believed “for at least a year” that Ethereum was an unregistered security.

According to Eric Balchunas, senior analyst at Bloomberg, on May 20, despite the constant shift between approval and disapproval, the chances of approval for an Ethereum ETF increased from 25% to 75%.

This drastic change in position came after Balchunas heard “from a speaker… that the SEC might make a 180-degree change” on the issue, as it has become “an increasingly political issue.” .

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