Oliver Michel, CEO of Tokentus Investment AG, has weighed in on the contentious issue of ETHGate, shedding light on what he perceives as similarities between Ethereum’s ICO and Ripple’s institutional sales of XRP.
ETHGate, at its core, revolves around accusations regarding Ethereum’s alleged cozy relationships with key SEC figures, purportedly granting ETH a preferential treatment in regulatory matters vis-à-vis other cryptocurrencies.
Critics contend that Ethereum’s ties with the SEC may have influenced William Hinman, former director of Corporation Finance, to categorize ETH as a non-security in his notorious address back in June 2018.
Amid escalating discourse on the ETHGate imbroglio, Michel shared his insights during a recent interview. His remarks, disseminated by the XRP advocate Digital Asset Investor on the X platform, underscored mainstream media’s purported neglect of Ethereum’s formative controversies.
In conversation with a Der Aktionär correspondent, Michel characterized the ETHGate saga as a “red-hot narrative,” eagerly awaiting its denouement. He spotlighted Hinman’s strategic maneuver in deeming Ethereum a non-security, while also referencing SEC chair Gary Gensler’s evasive stance on ETH’s security status during a congressional hearing.
Moreover, the Tokentus Investment CEO opined that Ethereum’s ICO in 2015 potentially qualifies ETH as a security, drawing parallels to Judge Analisa Torres’ ruling in the Ripple case regarding XRP’s institutional sales.
Michel suggested that Ethereum may have flouted regulatory protocols by offering ETH to institutional investors sans requisite registrations. He further alluded to revelations from Ethereum’s nascent days, resurrecting an archival post by crypto luminary Steven Nerayoff detailing early ETH distribution.
Meanwhile, Nerayoff castigated Ethereum co-founder Joseph Lubin for purportedly contravening the ICO terms and conditions, alleging Lubin’s involvement in speculative purchasing during ETH’s early sales phase.
Notably, Nerayoff argued that Lubin’s transgression eclipses Ripple’s securities law breach through institutional XRP sales, positing it as a grave violation.
The ETHGate saga, as Nerayoff contended, epitomizes one of the most egregious financial frauds witnessed, evoking incredulity among many due to its scale and potential repercussions.
Despite mainstream media’s purported apathy towards ETHGate, Nerayoff vowed to persist in uncovering alleged malfeasance during Ethereum’s inception.
It’s imperative to note that this narrative serves informational purposes and does not constitute financial advice. Readers are encouraged to conduct thorough research before making investment decisions.