Leaders of prominent cryptocurrency companies, including Coinbase and Uniswap, are voicing their support for Consensys as it takes on the U.S. Securities and Exchange Commission (SEC) in a legal dispute over Ethereum’s regulatory classification.
Consensys, the firm responsible for the MetaMask crypto wallet, grabbed attention with its legal action against the SEC, alleging regulatory overreach and an endeavor to influence the trajectory of cryptocurrency. The lawsuit contends that the SEC’s efforts to classify Ethereum as a security exceed its bounds.
The lawsuit comes amidst a wave of regulatory scrutiny facing the crypto industry, with the SEC targeting major players such as Binance, Kraken, Uniswap, and Coinbase. Consensys’s preemptive legal move aims to challenge the SEC’s allegations and establish Ethereum’s status as a commodity rather than a security.
Coinbase, embroiled in its own legal battles with the SEC, also expressed support for Consensys’s stance. Paul Grewal, Coinbase’s Chief Legal Officer, urged the SEC to acknowledge Ethereum as a commodity and commended Consensys for challenging the regulator’s authority.
Consensys’s lawsuit seeks to invalidate the SEC’s claims regarding Ethereum’s regulatory status, echoing similar efforts by Coinbase and others within the industry.
Neither Binance nor Kraken, both currently engaged in legal disputes with the SEC, provided immediate comments in response to Decrypt’s request for input.