Coinbase Criticizes SEC Chairman

Coinbase has criticized the Chairman of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, for his "Misleading" Statement Regarding Securities.

Coinbase's legal representative, Paul Grewal, criticized SEC Chairman Gary Gensler specifically for his statement regarding the classification of some cryptocurrencies as securities.

Grewal pointed out Gensler's remarks during an interview on CNBC's Squawk Box. When discussing cryptocurrencies, including Ethereum, the SEC Chairman stated, "Many of these tokens are securities under our country's law, under the U.S. Supreme Court's interpretation. So, we enforce the law."

Coinbase's legal representative promptly corrected Gensler's "misleading" statement, arguing that tokens are not securities. To support his arguments, Grewal cited previous acknowledgments by SEC lawyers in court.

The SEC continues to classify some altcoins as securities, negatively impacting the chances of approval for the Ethereum ETF by the Commission. Against this backdrop, it seems that the securities regulator has found an ally in Michael Saylor, the founder of MicroStrategy. During the MicroStrategy World 2024 conference, Saylor criticized Ether, calling it a security, and predicted that other digital assets such as Solana (SOL), Cardano (ADA), XRP, and even BNB, would also not gain acceptance on Wall Street.