The post BREAKING: Ethereum Security Status Under Review, SEC Requests Redaction appeared first on Coinpedia Fintech News
The cryptocurrency world is buzzing with speculation after the US Securities and Exchange Commission (SEC) filed a letter seeking to redact parts of a speech given by former SEC official Bill Hinman in June 2018. The speech classified Ethereum as not being a security, but the redacted sections reportedly discuss “pending determinations” before the commission, leading to rumors that the designation of Ethereum may be under review.
SEC Seeks Approval to Redact Two Documents
In response to the SEC’s April 11, 2022 order, which allowed them to “seek leave to redact” communications between staff that discussed how Hinman’s speech “implicates other, separate agency deliberations,” the SEC filed a letter on April 29, 2022, seeking approval to redact two documents that contained language the commission sought to keep confidential. The SEC has submitted the documents to the court for “in-camera review” as directed by the court’s July 12, 2022 order.
Potential Impact on Ethereum
Ethereum is the second-largest cryptocurrency after Bitcoin, with a market capitalization of over $200 billion. The designation of Ethereum as not being a security has been a crucial factor in its growth and adoption. The possibility that its status may be under review has raised concerns among investors, as it could potentially affect the value and legitimacy of Ethereum.
Mixed Reactions from Ethereum Community
The Ethereum community has responded with a mix of concern and dismissal regarding the potential review of Ethereum’s designation. While some are worried about the impact on the cryptocurrency, others believe that the designation is not under review. The outcome of the SEC’s request to redact the documents remains to be seen and whether it will lead to a review of Ethereum’s designation.