Saylor predicts SEC will designate Ethereum as a security and deny spot ETF applications this summer

MicroStrategy enforcement president and co-founder Michael Saylor believes the SEC volition classify Ethereum arsenic a information this summertime and cull the related spot ETF applications filed by assorted plus managers, including BlackRock.

Saylor made the prediction successful a societal media station connected May 2 during a presumption astatine the MicroStrategy World 2024 conference. He further predicted that different cryptos “down the stack” volition besides summation an unregistered information designation, including BNB, Solana (SOL), XRP, and Cardano (ADA).

Saylor said:

“None of them volition beryllium wrapped by a spot ETF, nary of them volition ever beryllium accepted by Wall Street…”

Saylor alternatively asserted that Bitcoin (BTC) unsocial has afloat organization acceptance. He called BTC the “one universal” institutional-grade crypto plus and said “there won’t beryllium different one.”

MicroStrategy’s laminitis is well-known for his exclusive absorption connected Bitcoin. Saylor’s statements travel days aft MicroStrategy said it added $1.65 billion of BTC to its firm holdings successful the archetypal 4th and alongside the announcement of its Bitcoin-based decentralized individuality (DID) product.

Critical ETH decisions

Although the marketplace was initially optimistic astir the support of spot Ethereum ETFs, the expectations person fallen dramatically successful the past fewer weeks, with Polymarket placing the likelihood of support astatine a meager 11% arsenic of property time. Analysts likewise revised their expectations from much than 80% accidental of support to little than 30%.

The captious day for the SEC’s determination is May 23, astatine which constituent it indispensable determine connected VanEck’s projected ETF. The regulator is expected to determine connected different akin applications simultaneously.

The SEC whitethorn besides request to authorities whether ETH is simply a security. The blockchain improvement institution Consensys intends to compel the SEC to authorities ETH is not a security successful a ineligible case. US lawmakers person besides asked for clarity connected the substance successful narration to different company, Prometheum.

A wide designation for ETH could supply companies with a definite mode to grip the asset. However, specified a designation could besides impact whether the SEC approves definite products, specified arsenic a spot ETF, and whether companies enactment with ETH without due registration.

The station Saylor predicts SEC volition designate Ethereum arsenic a information and contradict spot ETF applications this summer appeared archetypal connected CryptoSlate.