What’s Next for SOL, MATIC, ADA Following SEC’s ETH Decision?

The US Securities and Exchange Board (SEC) has permanently closed its Ethereum investigation, which led to a rise in ETH and altcoins. Although this move by the SEC raises doubts, especially in the XRP community, does the fact that Ether has gained status as a commodity mean that all proof of stake (PoS) cryptocurrencies such as Solana (SOL), Cardano and Polygon are commodities?

What will happen to SOL, MATIC with the Ethereum decision?

cryptokoin.com As we reported, the permanent closure of the Ethereum investigation initiated by the US Securities and Exchange Board (SEC) created excitement in the cryptocurrency markets. While this decision raises doubts in the XRP community, does it mean that Ether’s status is not a security and how will this affect other Proof-of-Stake (PoS) cryptocurrencies, namely assets such as Solana (SOL), Cardano and Polygon?

The SEC’s closure of the Ethereum investigation led to speculation that other PoS cryptocurrencies such as Solana, Cardano and Polygon would not be classified as securities. With this development, Ether has moved ahead of Bitcoin and XRP in terms of regulatory clarity.

The XRP community also took action

Mr. Huber, a well-known figure in the XRP community, asked former SEC securities attorney Marc Fagel what would happen to other PoS projects if the SEC does not consider Ethereum a security. This development also left a question mark on valuable PoS cryptocurrencies such as Solana, Cardano and Polygon. Because the SEC classified these cryptocurrencies, which are processed through Binance, Coinbase and other exchanges, as securities in previous cases.

Commenting on the bet, Marc Fagel said, “I don’t have clear information about the SEC’s opinion, but I wouldn’t make that inference. “I don’t know the evidence (or lack thereof) behind the SEC closing the investigation, but the presence of strong defenses (not found in other cryptocurrencies) may have been a big factor.” He answered in the form

Will there be a statement from the SEC?

Alexander Grieve, head of government relations at Paradigm, said it was unusual for the SEC to single out one of the companies when the investigation was closed. Grieve: “The SEC does not have to make such a statement.” said. Additionally, the Ethereum Foundation was part of the investigation, but no letter was sent to them. Marc Fagel also confirmed that it is highly unusual for a party to be sent a closure notice while an investigation is ongoing.

Consensys announced that the SEC Enforcement Division closed its investigation into Ethereum 2.0 in a letter dated June 18. The company described this as a major win for Ethereum developers, technology providers and segment affiliates. This decision came after Consensys requested confirmation in a letter to the SEC. The ETH ETFs approved in May are thought to be a result of ETH being classified as a security.

Consensys announced that it will continue its lawsuit against the SEC. The company is requesting a written confirmation from the SEC that its user interface software, MetaMask Swaps and Staking, does not violate securities laws. In short, it is not yet clear how Ethereum’s non-classification as a security will affect the status of other PoS cryptocurrencies. While the SEC’s stance on this issue remains unclear, the reactions of the XRP community are negative.