Saylor predicts SEC will designate Ethereum as a security and deny spot ETF applications this summer

MicroStrategy government chairman and co-founder Michael Saylor believes the SEC will classify Ethereum as a security this summer and reject the associated spot ETF applications filed by varied asset managers, together with BlackRock.

Saylor made the prediction in a social media publish on May 2 throughout a presentation on the MicroStrategy World 2024 convention. He additional predicted that different cryptos “down the stack” will additionally achieve an unregistered security designation, together with BNB, Solana (SOL), XRP, and Cardano (ADA).

Saylor mentioned:

“None of them will be wrapped by a spot ETF, none of them will ever be accepted by Wall Street…”

Saylor as an alternative asserted that Bitcoin (BTC) alone has full institutional acceptance. He referred to as BTC the “one universal” institutional-grade crypto asset and mentioned “there won’t be another one.”

MicroStrategy’s founder is well-known for his unique concentrate on Bitcoin. Saylor’s statements come days after MicroStrategy mentioned it added $1.65 billion of BTC to its company holdings within the first quarter and alongside the announcement of its Bitcoin-based decentralized id (DID) product.

Crucial ETH selections

Though the market was initially optimistic in regards to the approval of spot Ethereum ETFs, the expectations have fallen dramatically in the previous few weeks, with Polymarket putting the chances of approval at a meager 11% as of press time. Analysts equally revised their expectations from greater than 80% probability of approval to lower than 30%.

The crucial date for the SEC’s determination is Might 23, at which level it should resolve on VanEck’s proposed ETF. The regulator is predicted to resolve on different comparable applications concurrently.

The SEC may additionally have to state whether or not ETH is a security. The blockchain growth firm Consensys intends to compel the SEC to state ETH isn’t a security in a authorized case. US lawmakers have additionally requested for readability on the matter in relation to a different firm, Prometheum.

A transparent designation for ETH may present corporations with a particular solution to deal with the asset. Nonetheless, such a designation may additionally have an effect on whether or not the SEC approves sure merchandise, such as a spot ETF, and whether or not corporations work with ETH with out correct registration.

The publish Saylor predicts SEC will designate Ethereum as a security and deny spot ETF applications this summer appeared first on CryptoSlate.

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