Michael Saylor of MicroStrategy asserts that Ethereum is a security

Depricated as of Oct 2022

Some CRYPKYP functionalities are depricated as of October 2022 and will no longer be populated until further development and future version.
Although all here is visible and interactable you can not Contribute to those articles.
Try looking at other information on the Platform and Contributing there!

Have a great day,

Michael Saylor of MicroStrategy asserts that Ethereum is a security

Michael Saylor of MicroStrategy asserts that Ethereum is a security
Source: CryptoSlate
1657715537 13 Jul / 12:32

Michael Saylor, CEO of MicroStrategy, stated in an interview with Altcoin Daily that Ethereum (ETH) is security. Saylor argues that the fact Ethereum was initially distributed through an initial coin offering demonstrates it is not a commodity.

"There's a management team. There was a pre-mine. There's a hard fork, and there are continual hard forks." In addition, he discussed Ethereum's difficulty bomb and how it is postponed every six months, proving the asset is a security.

If the Ethereum difficulty bomb detonated, it would disincentivize miners and complete the network's move to a proof-of-stake model. Saylor defines the majority of crypto assets as securities. Saylor believes that a cryptocurrency can only be a commodity if there is no issuer and no one makes network-wide choices.

Saylor stated, “If you look at most of these cryptos, where they have hard fork after hard fork after hard fork, the problem with a hard fork is changing the protocol means that some development team is making a decision, and if you can materially change the protocol, you can change the monetary protocol. A hard fork can change the issuance pattern, or it can change the value of something. So that makes an investment contract under securities law.”

Saylor feels Ethereum’s potential to evolve is also its difficulty regarding securities legislation. According to him, people desire an immutable decentralized protocol like Bitcoin.

Meanwhile, he acknowledged that securities serve a purpose, but there must be “full and fair disclosures” regarding these tokens.

In addition, he cited the Securities and Exchange Commission’s (SEC) recent announcement that any cryptocurrency that earns staking rewards is security.

Saylor’s declaration follows a lawsuit about security filed against Solana (SOL).

Many members of the cryptography community disagree with this opinion. As pointed out by several podcasters, even SEC head Gary Gensler has not referred to Ethereum as a security.

George at CryptosRUS noted that even Bitcoin had undergone improvements, such as the SegWit upgrade, which contributed to the Bitcoin Cash hard fork.

In addition, Senators Kirsten Gillibrand and Cynthia Lummis introduced a measure classifying Bitcoin (BTC) and Ethereum as commodities.

Last News and Media
CRYPKYP contain links to third-party websites, resources, and advertisers. CRYPKYP does not control, sponsor, recommend or otherwise accept responsibility for any third-party content because we are not responsible for the availability of these outside resources or their contents or privacy practices. It will help if you direct any concerns regarding any third-party content to such a third party. We don't accept responsibility for the content of external websites linked to through the Site or the Services. Third-party content is accessed at the user's own risk. CRYPKYP distributes content from third-party publishers as indicated on the site from time to time mainly in Airdrops, News / Media, Whale Alerts, and Rumors. In these circumstances, CRYPKYP only provides limited stylistic input to the content. CRYPKYP does not verify and takes no responsibility for the accuracy of the content provided by any such third-party publishers.