The founder and CEO of a leading cryptocurrency exchange Coinbase, Brian Armstrong, recently stated that the Ethereum (ETH) is a commodity, just like Bitcoin (BTC).
in an interview à Bloomberg, Armstrong stated that the US Securities and Exchange Commission (SEC) should soon approve spot Ethereum exchange-traded funds (ETFs). However, Armstrong also highlighted the ongoing conflict between federal agencies regarding the classification of Ethereum as a security.
“I think Ethereum ETFs should clearly be approved and everyone deserves equal treatment under the law. Unfortunately, some of this crypto stuff has gotten a little politicized in our federal agencies. And unfortunately, there's this kind of turf war between the CFTC (US Commodity Futures Trading Commission) and the SEC about whether it is a commodity, whether it is a security, etc. And I think the facts are pretty clear: Ethereum is a commodity, but that’s not going to stop people from trying to tinker with things,” he stated.
The Coinbase CEO noted during his comments that this situation could end up in court, just like what happened with Bitcoin ETFs. After years of denying the products, the SEC approved the trading of Bitcoin-based ETFs on January 10.
“If it is unfairly delayed, I think the industry will have to follow a similar path to what happened with Bitcoin, meaning they will essentially go to court and the courts will force regulators to play by the rules, follow the law and give equal treatment before the law. So additional effort may be needed, but I think they really should be approved immediately,” Armstrong added.
It is worth remembering that the US regulator comes postponing all decisions on the approval of Ethereum ETFs. Initially, there was speculation in the community that the approvals would take place in May, but this probability is decreasing more and more.
