Jack Dorsey Calls ETH a Security Amid Ongoing SEC Crackdown

• Dorsey responded on Twitter, asking if or not ether is security.
• Jack also posted an image of a 2015 tweet by Coinbase CEO Brian Armstrong.

Jack Dorsey, a staunch supporter of Bitcoin, has been embroiled in a Twitter spat with numerous crypto industry analysts. This is after answering “yes” to a query on whether or not Ether qualified as a security. Bitcoin Ordinals developer at Taproot Wizards Udi Wertheimer saw the message and tweeted on June 6 that Dorsey was a “clown” for making it.

Dorsey responded on Twitter, asking if or not ether is security. To which Wertheimer replied, “Teach me wizard,” prompting the latter to link to a video from 2013 in which U.S. Securities and Exchange Commission Chair Gary Gensler declared that ETH had become “sufficiently decentralized” and was no longer a security.

Online Brawl Amid SEC Crackdown

After Wertheimer’s remark, however, Gabor Gurbacs, strategic consultant to stablecoin issuer Tether and investment management company VanEck, said that Ethereum’s recent switch to proof-of-stake may have re-triggered securities rules.

On June 5 and 6, the SEC filed lawsuits against cryptocurrency exchanges Binance and Coinbase. Alleging they purportedly provided tokens believed to be unregistered securities, setting the stage for the current online brawl.

Dorsey also posted an image of a 2015 tweet by Coinbase CEO Brian Armstrong, in which Armstrong called altcoins a “distraction” and said the company should “be focused” on Bitcoin, and he seemed to approve of the post in his tweet.

Moreover, on a roll with his pro-Bitcoin tweets, Dorsey shared a video of Jack Mallers, CEO of Bitcoin Lightning app Strike, criticizing Armstrong for ignoring Bitcoin and the Lightning Network in favor of developing for other cryptocurrencies.