Gushiken Yona
In a surprising twist within the cryptocurrency community, renowned Bitcoin maximalist Michael Saylor sparked intrigue by diverging from the herd, predicting Ethereum’s contentious journey towards a potential security classification by the U.S. Securities and Exchange Commission (SEC) while casting doubts on the approval prospects of ETH exchange-traded funds (ETFs). Saylor’s bold stance underscores the evolving dynamics of the crypto landscape and sets the stage for intensified debates and market uncertainties.
Saylor, the co-founder and executive chairman of the American business intelligence and software firm MicroStrategy, made a grim prediction about Ethereum, the world’s second-largest crypto asset by market capitalization, saying it will soon be classified as a security. Moreover, the executive predicted that the highly anticipated crypto investment vehicle, the Ethereum exchange-traded fund (ETF), currently under review at the SEC, will not be approved.
Aside from that, Saylor also shot down several crypto assets like Binance Coin (BNB), Solana (SOL), Ripple (XRP), and Cardano (ADA), saying those will likely face similar security classifications from the major Wall Street regulator.
“Ethereum is deemed to be a crypto asset security, not a commodity. After that, you’re gonna see that Ethereum, BNB, Solana, Ripple, Cardano, everything down the stack is just crypto-asset securities unregistered,” Saylor said during the MicroStrategy World 2024 conference, an event where data professionals, tech leaders, and decision-makers explore the latest advancements in the AI-powered analytics.
“None of them 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,” the executive added. Conversely, Saylor emphasized Bitcoin’s distinctive status as the sole crypto asset with complete institutional acceptance, referring to it as the “one universal” institutional-grade crypto asset without any rivals.
MicroStrategy initiated its investment in Bitcoin in 2020, viewing it as an inflation hedge and an alternative to holding cash. The company has since become the world’s largest corporate holder of Bitcoin, currently owning 214,400 BTC at an average purchase price of $35,180 per BTC as of April 30. This substantial investment aligns with a broader strategy that seeks to leverage Bitcoin for both financial gains and technological advancements.
It is worth noting that Saylor delivered a similar grim forecast to Bitcoin in 2013, a few years before the king of crypto helped push the value of MicroStrategy’s stocks to new highs, particularly in January when BTC’s value skyrocketed because of the launch of spot Bitcoin ETF in the U.S.
In 2013, Saylor expressed skepticism about Bitcoin’s future, predicting its downfall. He stated, “Bitcoin days are numbered. It seems like just a matter of time before it suffers the same fate as online gambling.”
Read More
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- The Big Bet: MicroStrategy Pushes Bitcoin Accumulation Amid Price Volatility, BTC ETF
Yona has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Daily is an official media and publication of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
