Coinbase Urges SEC to Give Approval to Ethereum ETFs

Coinbase’s chief legal officer, Paul Grewal, argued that the SEC has no justifiable reason to reject applications for ETH-ETFs.

He pointed out that Ethereum has been widely adopted by millions of Americans since its launch in 2015 and plays a crucial role in the cryptocurrency ecosystem.

Grewal stated that the SEC has historically treated Ethereum as a commodity, rather than a security, and this has been confirmed by both the CFTC and federal courts.

He also referenced previous statements from the SEC’s director of corporate finance and current chairman Gary Gensler, who have both taken a similar stance.

The executive highlighted that Ethereum does not meet the criteria of the Howey test, which is used to determine whether an asset is a security.

He also noted that the asset has been consistently regulated, including its listing on CFTC-regulated futures exchanges in 2021.