TechFlow News, according to The Block, U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler told reporters on Wednesday that proof-of-stake tokens should be considered securities under U.S. law.
Gensler argued that returns earned by token holders through staking indicate these tokens are securities and must be registered under U.S. law. His comments came in response to a question about last week's statement from Commodity Futures Trading Commission (CFTC) Chair Rostin Behnam, who said ether is a commodity.
Gensler has previously stated that proof-of-stake protocols may fall under the jurisdiction of U.S. securities laws. Additionally, New York Attorney General Letitia James, in a lawsuit filed against cryptocurrency firm KuCoin, claimed that ether is an unregistered security and that its founders—including Vitalik Buterin—violated U.S. securities laws.Source link
