Coinbase CLO Defends Ethereum Security Status Amid Regulatory Scrutiny

Paul Grewal, Coinbase’s Chief Legal Officer (CLO), has been a key voice in the ongoing debate regarding Coinbase’s legal classification. Ethereum The US Securities and Exchange Commission (SEC) claimed to uphold the non-secure status of the platform.

Widespread awareness of the security nature of Ethereum

Coinbase CLO Paul Grewal takes on X (formerly Twitter) expressed His belief is Ethereum as a commodity. According to Grewal, he knows that ETH is a commodity, and the entire crypto community and the Commodity Futures Trading Commission (CFTC) also know this. Therefore, it is imperative that the SEC acknowledges the continuing belief that ETH is a commodity and stops playing the game.

He also expressed gratitude to ConsenSys for filing a lawsuit against the regulatory watchdog’s illegal abuse of power.

On Thursday, ConsenSys claimed: filing The SEC is reportedly planning enforcement proceedings to regulate ETH as a security as part of its strategy to control the future of cryptocurrencies. The company also claimed that Metamask, its wallet software that encourages users to self-custody their Ethereum and other cryptocurrencies, was a primary target of the SEC after receiving a Wells letter indicating possible regulatory action.

The filing cites an earlier declaration from Gary Gensler, the agency’s director. ETH security status. In 2018, when Gensler was a university professor, he asserted that ETH was sufficiently decentralized and therefore could not be considered a security.

ConsenSys believes that by classifying ETH as a security, the agency should not be allowed to arbitrarily extend its jurisdiction to include the future governance of the Internet. Additionally, the company claims that the SEC’s approach has been careless, thereby causing havoc for those involved in improving and managing critical Ethereum-based systems.

The submitted document stated as follows:

The SEC’s illegal seizure of power over ETH will spell disaster for the world. For the Ethereum network, and Consensys. Any ETH holder, including ConsenSys, will be concerned that she may violate securities laws if she transfers her ETH on the network. And the ability of new ETH acquirers to use Ethereum’s repository for decentralized applications and services will disappear. This would halt the use of the Ethereum blockchain in the United States and cripple one of the internet’s greatest innovations.

The company’s main purpose in filing a lawsuit is to SEC This is to protect access for the large number of developers, organizations, and market players interested in the Ethereum blockchain, while ensuring that ETH remains a dynamic and reliable blockchain platform.

Revolution brought about by the introduction of blockchain

consensus It aims to increase the use of blockchain platforms like Ethereum, which are believed to contribute to the improvement and restructuring of the next generation of governing several systems around the world. These include social, political, economic, and technological systems that make the world more transparent, original, and equal. But this promising vision is now being challenged by the SEC.

It is worth noting that Ethereum not only provides permission-free information, but also permission-free human ingenuity capabilities. As a result, ConsenSys emphasized the need for transparency and encouraged those opposed to the SEC’s regulatory actions to speak out.

ETH trading at $3,152 on 1D chart | Source: ETHUSDT tradingview.com

Featured image from iStock, chart from Tradingview.com

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