September 19, 2023
By Anjali Kocchar
In a recent interview, Joseph Lubin, co-founder of Ethereum and CEO of ConsenSys, expressed confidence that rationality will prevail in the legal battles between U.S. regulators and crypto firms. Lubin believes that decentralised protocols, blockchain, and cryptocurrency align with U.S. values.
The U.S. Securities and Exchange Commission (SEC) has been engaged in legal disputes with crypto firms, asserting that many crypto tokens should be considered securities and thus require registration before sale. Lubin emphasised that history has shown that sensible decisions ultimately emerge.
Lubin stated, “America will recognise that decentralised protocols, blockchain, cryptocurrency are in harmony with U.S. principles, and other countries may follow suit.” He added that firms like Binance, Coinbase, and Ripple are currently contesting lawsuits with the SEC, which has accused them of legal infractions.
The SEC’s Chair, Gary Gensler, has expressed his view that a significant portion of crypto tokens are securities, but Lubin highlighted the need for evidence to support such claims. He emphasised that Gensler can’t simply declare tokens as securities without proper justification.
Lubin has consistently argued that Ethereum’s native token, ether, should be viewed as a commodity, akin to oil. He explained that people acquire oil with the expectation of profit, and he maintains this perspective.
Leaders in the crypto space have criticised the U.S. for a lack of clarity regarding crypto regulations, even suggesting the possibility of relocating if the SEC continues its strict approach. Lubin pointed out that many countries look to the U.S. for guidance in financial matters, as the nation wields substantial influence.
He emphasised that decentralised protocol technology seeks to streamline processes and reduce the need for intermediaries. Lubin concluded, “The U.S. cherishes free markets, capitalism, and free speech,” highlighting the alignment of these principles with the ethos of blockchain technology.
About the author
Anjali Kochhar covers cryptocurrency stories in India as well as globally. Having been in the field of media and journalism for over three years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.