SEC Chief: BTC, ETH ‘Not Securities’ in 2018

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Summary

  • Gary Gensler, current Chairman of the US Securities and Exchange Commission (SEC), classified Bitcoin (BTC), Ether (ETH), Litecoin (LTC), and Bitcoin Cash (BCH) as “not securities” in 2018.
  • His stance from nearly five years ago contrasts with his nowadays vision.
  • The SEC is known for its harsh actions against the cryptocurrency industry and recently filed lawsuits against two of them.

Background Information

In 2018, Gary Gensler served as Chairman of the Maryland Financial Consumer Protection Commission. He was subsequently appointed to be the Chairman of the US Securities and Exchange Commission (SEC) in 2021 – a government agency that regulates and oversees the securities markets. This agency is also known for its tough stances against digital assets such as cryptocurrencies, having recently filed lawsuits against two of them.

Gensler’s View in 2018

A video that has now gone viral on Twitter revealed how Gary Gensler had classified four leading cryptocurrencies – Bitcoin (BTC), Ether (ETH), Litecoin (LTC), and Bitcoin Cash (BCH) – as “not securities” back in 2018 when he held his former post at the Maryland Financial Consumer Protection Commission. His views then are said to have been different from his current ones, with him now arguing that only BTC can be categorized as a commodity.

SEC Action Against Cryptocurrency Industry

The US Securities and Exchange Commission has taken action against some cryptocurrency-related entities recently, filing lawsuits against two of them. The agency’s stance on digital assets has been quite harsh overall, though it is worth noting that this goes back to before Gary Gensler became their Chair in 2021.

Conclusion

A newly-surfaced video showed that Gary Gensler had once classified several cryptocurrencies such as Bitcoin (BTC) and Ether (ETH) as “not securities” before becoming the Chairman of the US Securities and Exchange Commission in 2021. Despite this opinion from five years ago being contrasted by one nowadays, the SEC still continues to take tough stances on digital asset-related entities with recent lawsuits being filed by them against such companies or individuals.

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