- Michael Saylor makes some wild speculations about the crypto landscape.
- The MicroStrategy founder predicts the SEC could soon target major altcoins like ETH, ADA, and SOL.
- There could be some merit to Saylorโs assertions, considering the SECโs history.
Michael Saylor, the driving force behind MicroStrategyโs ascent as one of the most prominent players in the crypto industry, is known for his unwavering support for Bitcoin. However, his stance on altcoins is equally firm: thereโs no second best after Bitcoin.ย
Speaking at MicroStrategyโs Bitcoin For Corporations conference, Saylor didnโt hold back in his critique of altcoins, speculating about the SECโs looming crackdown on crypto.
Michael Saylorโs Bold Assertions
Michael Saylor stirred speculation that the SEC could target several major altcoins soon. In his speaker note, the MicroStrategy co-founder made a bold statement: The SEC will deny the listing and trading of all spot ETH ETFs.
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Saylor emphasized that the SEC will likely classify ETH as a crypto asset security under its regulatory purview, diverging from its treatment as a commodity under the US Commodity Futures Trading Commission CFTC) and, in turn, hurting the prospects for a spot ETH ETF approval any time soon.
Expanding on his prediction, he added that the SECโs scrutiny would extend to other leading tokens, including Binanceโs BNB, Solanaโs SOL, Rippleโs XRP, and Cardanoโs ADA, with the regulator labeling them as unregistered crypto asset securities.
โNone of [these tokens] will ever be wrapped by a spot ETF, none of them will be accepted by Wall Street, none of them will be accepted by mainstream institutional investors as crypto assets,โ said Saylor.
Saylorโs comments come amidst mounting hype surrounding ETH ETFs, with all eyes turned to May 23 and 24, the deadlines for ETF applications from VanEck and Ark Invest. While it is uncertain whether things will go as the MicroStrategy executive predicted, there could be some merit to his assertions.
The SECโs History of Labeling Tokens as Securities
In the summer of 2023, the SEC unleashed a flurry of attacks on some of the largest crypto exchanges in the country, including Binance and Coinbase. While the formerโs case has concluded, resulting in its former CEO, Changpeng ‘CZ’ Zhao, being imprisoned and the exchange paying a hefty fine of over $4 billion, the legal battle with Coinbase remains ongoing.
In its attack, the SEC accused Binance and Coinbase of offering unregistered securities. Solana, Cardano, Ripple, and BNB were among the assets identified as securities, many of which Saylor highlighted in his speech.
Although Ripple later broke free of its โsecurityโ status, marking a triumphant victory over the SEC, the other tokens have yet to clear their name.
On the Flipside
- The SEC could approve leveraged ETH ETFs in May despite probing Ethereumโs security status.
- Experts predict there is a slim chance that the SEC will approve ETH ETFs in May; however, theyโre optimistic that the investment vehicle will gain approval later this year.
Why This Matters
Michael Saylorโs predictions can be harrowing for the crypto industry, especially as the market tries to recover from the lingering aftermath of the previous bear market and recent geopolitical tensions.
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