Joseph Lubin, co-founder of Ethereum and CEO of ConsenSys, said US regulators will see that decentralized protocols, Blockchain and cryptocurrencies are compatible with the US philosophy.
Ethereum Co-Founder Says Logic Will Win in SEC's Legal Battles with Crypto Firms
The US SEC is in a legal battle with crypto firms, claiming that most crypto tokens are securities and crypto firms must register them with the regulator before selling them.
In SEC cases, “I predict that, as with previous technologies like the internet, the web, and cryptography, logic will prevail,” Lubin said in an interview today.
“America will see that decentralized protocols, Blockchain and cryptocurrencies are aligned with the US philosophy, and I think most of the rest of the world will follow,” said Lubin, who is also CEO of blockchain technology company ConsenSys.
In 2020, the SEC filed a lawsuit against Ripple and its co-founders for violating securities laws by selling the local cryptocurrency XRP without registering it with the SEC.
Meanwhile, the SEC accused Coinbase of operating an unregistered exchange and broker in June. That same month, Binance was charged with various securities law violations.
“The vast majority of crypto tokens are securities,” SEC chairman Gary Gensler said in written testimony to the House Financial Services Committee in April, adding that crypto tokens should then be registered with the SEC.
In March, Lubin said in an interview that Ethereum should be viewed as a commodity like oil rather than a security. “People buy barrels of oil with the expectation of profit,” he said at the time.
*This is not investment advice.