Is ETH a commodity now?

[Abiky]

According to the recent SEC filing you all know, ETH is now a commodity - highlight: according to the SEC

Is there still a chance that some other force (e.g. congress) will overthrow SEC's right to make this decision?


(Source: SEC mentions ETF funds as Commodity-Based Trust Shares: https://www.sec.gov/files/tm/lk87adfs99.pdf )

It's still a security. Any coin with a PoS mechanism will be classified as such by the US government. ETH is becoming more centralized each day, as big players (mainly CEXs) hold a large stake on the network. The ETFs approval will only make matters worse. Would you imagine an scenario where institutional investment companies become validators of the ETH blockchain with customers' stake? It'd be disastrous.

This is NOT what Satoshi wanted in the first place. People don't care because they're only focused on making money. As long as ETFs "pump" market prices, nothing else matters. We're going to have to see if the SEC will change its view on ETH and starts calling it a "commodity". Crypto regulations in the US are still a "mess". We can't predict the future, so lets hope for the best. 

[batang_bitcoin]

According to the recent SEC filing you all know, ETH is now a commodity - highlight: according to the SEC

Is there still a chance that some other force (e.g. congress) will overthrow SEC's right to make this decision?


(Source: SEC mentions ETF funds as Commodity-Based Trust Shares: https://www.sec.gov/files/tm/lk87adfs99.pdf )

It's very possible to rectify their description of ETH and can overthrow the decision of SEC. Everything is in paper so if there will be changes, they can do it in paper as well. But right now, I don't think that we'd see that anytime soon because it's just getting started. But if they're going to change their description of ETH as a security instead of a commodity, there will be for sure a lot of impact to its price.

[asrinur]

I think there are still other forces like Congress that can change this decision. As we know, Congress has the ability to pass a rule or even transfer regulatory authority from the SEC to another body. However, whether Congress wants to handle it or not.

[Abiky]

It's very possible to rectify their description of ETH and can overthrow the decision of SEC. Everything is in paper so if there will be changes, they can do it in paper as well. But right now, I don't think that we'd see that anytime soon because it's just getting started. But if they're going to change their description of ETH as a security instead of a commodity, there will be for sure a lot of impact to its price.

We shouldn't change our perception of ETH from being a security to a commodity. Especially when it's utterly-centralized. The PoS mechanism "kills" it. ETH is now a "corporate coin" where big companies with a lot of money can influence the future direction of the project. You're basically entrusting your ETH to centralized entities. Not to mention, the huge influence Vitalik Buterin has over Ethereum.

If (God forbid) something bad happens to him, Ethereum will be done for good (or at least, it will lose value big time). Talk about being a security. The only real commodity is Bitcoin due to the way it was designed. I have a feeling the SEC will prosecute the Ethereum Foundation due to the sale of "unregistered securities" (the ICO before ETH's launch). Bitcoin never had an ICO or publicly-known founder, so it's safe from harm's way. Lets move on, shall we?

[Ben Barubal]

     To my knowledge, the conversation is still going on. Moreover, concur with my suggestion or be aware of the CFTC's (commodity futures trading commission) statement that, in response to objections from cryptocurrency exchanges, Ethereum is now openly recognized as a commodity. Their goal is to control ETH in this way.

     The distinction between a commodity and a security should also be considered. Given that commodities are fungible assets, whereas securities are investments in projects, Ethereum may be subject to CFTC restrictions pertaining to derivatives trading if it is categorized as such. More stringent SEC restrictions would apply to it as a security.