Consensus vs. SEC lawsuit seeks clearer regulation of cryptocurrencies on June 22, 2024

To establish clearer regulatory guidelines in the cryptocurrency sector, Consensys is pursuing legal action against the SEC.

Consensys, a leading Ethereum software company, continues to take legal action against the U.S. Securities and Exchange Commission (SEC) despite the agency’s findings in its Ethereum 2.0 investigation.

Laura Brookover, head of disputes at Coinsensys, stated that the company is seeking more precise regulatory guidance for the cryptocurrency sector. Consensys’ SEC lawsuit seeking clarification is currently pending.

Brookover emphasized in an interview with CNBC on June 21 that the SEC has concluded its investigation into Ethereum 2.0 without establishing final regulatory clarity regarding Ethereum’s classification. She reaffirmed Consensys’ commitment to promoting more transparent regulations on digital assets.

Brookover disclosed that the Securities and Exchange Commission (SEC) is currently investigating Consensys’ MetaMask wallet, with particular emphasis on potential securities law violations related to the wallet’s trading and staking capabilities. The SEC previously issued a notice to Wells indicating its intention to take enforcement action on these matters.

Consensys submitted a letter in response to the SEC’s recent approval of Ethereum spot ETFs, questioning the decision’s potential impact on ongoing investigations. The company emphasized that the approval of these ETFs was based on the belief that ether is a commodity.

The SEC’s recent findings from its Ethereum 2.0 investigation have sparked discussions about Ether’s security classification and its potential impact on other cryptocurrencies. One of the goals of the Consensys SEC lawsuit is to directly confront regulatory uncertainty. So far, the agency has not responded to Consensys’ drastic actions.

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