Consensys Files Lawsuit Against the SEC Over Ethereum Regulation

cryptonews.com:

Ethereum developer firm Consensys managed by Joe Lubin has filed a lawsuit against the U.S. Securities and Exchange Commission (SEC) over its “overzealous regulation” around the Ethereum blockchain.

In an announcement on social media platform X, Lubin said, Consensys has taken an important step towards “preserving access to ether and by extension the Ethereum blockchain in the U.S. We are suing the SEC and fighting back against its overzealous regulatory overreach.”

Today, Consensys took an important step towards preserving access to ether and by extension the Ethereum blockchain in the U.S. We are suing the SEC and fighting back against its overzealous regulatory overreach. You can find more of my thoughts here: https://t.co/VmvOsrCxjw… https://t.co/5IubZo69FW

— Joseph Lubin (@ethereumJoseph) April 25, 2024

In a blog post, the firm said, the SEC’s reckless approach is bringing chaos to developers, market participants, institutions, and nations who are building or already managing critical systems running on Ethereum, the world’s largest platform for decentralized applications. 

The firm went on to add that the SEC only has jurisdiction over securities and up until recently has declared that ether is not and should not be treated as a security.

Consensys stressed that the SEC should not be allowed to arbitrarily expand its jurisdiction to include regulating the future of the Internet — adding the SEC has no authority—nor should it—to regulate the technological evolution of the Internet or any basic technology for that matter.

“Ether is the native token of the Ethereum blockchain. It can be traded as a commodity (like oil), but it is also essential to the technological development of applications built on Ethereum – including