‘these cryptos will be labeled as securities’

Michael Saylor, the founder of MicroStrategy (MSTR) and a Bitcoin (BTC) maximalist, recently stated that the US Securities and Exchange Commission (SEC) will likely classify major cryptocurrencies such as Ethereum (ETH) as securities.

Cryptocurrencies currently fall into a gray area in terms of regulation. The security classification will likely result in all applications for spot Ethereum exchange traded funds (ETFs) being rejected this summer.

The pessimism for an Ethereum ETF is further fueled with recent developments and expert opinions pointing to significant challenges. Decisions from the SEC regarding approval are delayed, increasing rumors of a rejection.

Possibly no altcoin ETFs

Saylor’s comments are not limited to Ethereum; he predicts that other prominent cryptocurrencies such as Ripple (XRP), Solana (SOL), and Cardano (ADA) will also be considered unregistered crypto assets.

The Bitcoin maximalist expects that none of these tokens will ever be embraced by a spot ETF or accepted by Wall Street. This will make it more difficult for institutional investors to invest in altcoins.

In stark contrast to his views on Ethereum and other cryptocurrencies, Saylor reaffirms Bitcoin’s status as the premier cryptocurrency. He considers Bitcoin to be the only universal crypto that has achieved full institutional acceptance.

New identity platform

MicroStrategy continues to pursue its BTC strategy and this is reflected in, among other things, the recent announcement of an innovative identity solution on the blockchain, called ‘Orange’. This initiative was presented during the MicroStrategy World 2024 conference.

Orange focuses on the secure storage of identity data and should be a revolutionary step in the crypto industry. It aims to replace traditional, vulnerable central databases with a decentralized and secure storage method on the Bitcoin blockchain.

The platform not only offers enhanced security but also guarantees the privacy of individuals. Orange allows up to 10,000 identity details to be stored in a single BTC transaction, thanks to the integration of Decentralized Identifiers (DIDs). The latter makes pseudonymity possible without large-scale fraud.

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