SEC president clarifies that comments on Ethereum (ETH) were non-binding and "not the law"


In mid-June, SEC Commissioner William Hinman publicly stated that Ethereum (ETH) was not a security. Commissioner Hinman, who is the divisional head of corporate finance at the regulatory body, made remarks at the top of Yahoo All Markets in San Francisco. To be precise, he stated the following regarding Ethereum:

and putting aside the fundraising that accompanied the creation of Ether, based on my understanding of the current state of Ether, the Ethereum network and its decentralized structure , current offers and sales of Ether are not securities transactions.

SEC president clarifies director Hinman's comments

Three months later, and on September 13, SEC president Jay Clayton came out to clarify director Hinman's comments as "not accessing". authority and not be considered law. He did so through a public announcement stating the following:

The long standing position of the Commission is that all staff declarations are non-binding and do not create executive rights or obligations of the Commission or other parties.

include a disclaimer which emphasizes the important distinction between the rules and regulations of the Commission, on the one hand, and the opinions of staff from the other.

The president also added that the authority will make an effort to emphasize that the comments of its employees should not be taken as concrete statements by the Authority.

As we carry out our market supervision functions, I believe that we in the Commission should bear this important distinction in mind. Several weeks ago, I instructed the directors of the Application Division and the Office of Compliance Inspections and Examinations to further emphasize this distinction for their staff.

What it means for XRP

Ethereum World News last month had highlighted the comments of Director Hinman who claimed that Ethereum was not a security, they were accompanied by a disclaimer who claimed that his words were his opinion and separated by those of the SEC.

The SEC president's clarification is in tandem with the observation of the Ethereum World News made last month – because of the acute eyes of the XRP community who continued to point it out as part of their efforts to extinguish the FUD against the digital axis t. This FUD marks XRP as the most centralized and manipulated cryptocurrency that is more of a security than a digital resource.

With some pending court cases against Ripple still to be concluded, it is safe to assume that the comments of SEC president Clayton gives the company Ripple a certain leverage in its defense against the constant charges that it has issued a non-securities offering. regulated.

What do you think of President Clayton's comments? Were you aware of the disclaimer that separates the comments from the SEC staff to that of the authority? XRP will receive a boost from this news. Please tell us what you think in the comments section below.

Disclaimer: this article is not intended to give financial advice. Any opinion here is purely that of the author and does not represent the opinion of Ethereum World News or its other writers. Perform your research before investing in one of the many cryptocurrencies available. Thank you.

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