Decentralization Dilemma: Unveiling the SEC’s Bias towards Bitcoin and Ethereum

Mr. Huber, a well-known crypto figure, has raised thought provoking questions surrounding the Securities and Exchange Commission’s (SEC) stance on digital tokens. His recent tweet questions the apparent favoritism shown by the SEC towards Bitcoin and Ethereum, the two leading cryptocurrencies, while subjecting others to stringent security classifications.

Huber challenges Bitcoin maximalists to explain the SEC’s treatment of Ethereum following its initial coin offering (ICO). His curiosity stems from the SEC’s declaration two years post-Ethereum’s ICO that it was “sufficiently decentralized,” while many other tokens continue to face scrutiny.

Challenging Gensler’s Crypto Stance

Huber kicked off his criticism by challenging Gensler’s sweeping categorization of most tokens as securities. He pointed out that Gensler’s approach failed to consider the complexities and nuances of token offerings. Huber argues that this blanket classification not only oversimplifies matters but could potentially hinder the growth and diversity of the crypto industry.

The crypto guru further amplified his stance by citing the frustrations of SEC commissioners such as Heister Peirce, who has publicly expressed her dissatisfaction with the SEC’s tendency to label tokens as securities.

Calling Out Ethereum Founders

Adding more fuel to the fire, Huber launched a direct attack on Ethereum co-founder Vitalik Buterin and former executive Joseph Lubin in a separate tweet. He accused the duo, in conjunction with banking giant JPMorgan, of bribing the SEC to secure a monopoly for Ethereum. He further insinuated that they were now trying to accuse others of doing the same, hinting at potential hypocrisy.

Bitcoin Maximalists Vs Ethereum’s Status

Huber also addressed Bitcoin maximalists, questioning their explanations regarding Ethereum’s “sufficiently decentralized” status as determined by the SEC. He highlighted how Ethereum was only declared as such two years after its Initial Coin Offering (ICO), despite persistent arguments about it being centralized.