Jack Dorsey Courts Controversy by asserting that ETH is a security

By Clark

The veteran Bitcoin supporter has tweeted articles encouraging a focus on BTC development ever since Binance and Coinbase were sued for selling unregistered securities.

longtime supporter of Bitcoin BTC tickers down $26,868 After saying “yes” to a question about whether Ether ETH tickers down $1,880 was a security, Jack Dorsey got into a Twitter argument with various experts in the crypto business.

Udi Wertheimer, a Bitcoin Ordinals developer at Taproot Wizards, was alerted to the remark and suggested Dorsey was a “clown” in a tweet on June 6.

Dorsey tweeted in response, “ETH is not a security? Teach me magician,” which prompted Wertheimer to upload an old video of Gary Gensler, the chairman of the US Securities Exchange Commission, saying that ETH was now “sufficiently decentralized” and wasn’t a security, five years prior.

Udi Wertheimer, a Bitcoin Ordinals developer at Taproot Wizards, was alerted to the remark and suggested Dorsey was a “clown” in a tweet on June 6.

Dorsey tweeted in response, “ETH is not a security? Teach me magician,” which prompted Wertheimer to upload an old video of Gary Gensler, the chairman of the US Securities Exchange Commission, saying that ETH was now “sufficiently decentralized” and wasn’t a security, five years prior.

However, in response to Wertheimer’s remark, Gabor Gurbacs, a strategy adviser to stablecoin issuer Tether and investment management company VanEck, asserted that Ethereum’s recent switch to proof-of-stake may have reactivated securities regulations.

The SEC filed complaints against cryptocurrency exchanges Binance and Coinbase on June 5 and 6 for allegedly offering tokens that were deemed to be unregistered securities, which is why there has been an online spat.

Additionally, Dorsey tweeted and appeared to endorse a screenshot of a 2015 post by Brian Armstrong, CEO of Coinbase, in which he called altcoins a “distraction” and said that Coinbase should “be focused” on Bitcoin.

As part of his ongoing advocacy for Bitcoin, Dorsey retweeted a video in which Jack Mallers, CEO of the Bitcoin Lightning application Strike, criticized Armstrong for prioritizing altcoins over advancing Bitcoin and the Lightning Network.

140 Ethereum-based nonfungible tokens (NFTs) were sold by the firm in 2021 when Dorsey was in charge of Twitter, but he at the time opposed investing in Ether.

When he asserted that Ethereum alone wouldn’t be able to challenge big tech in August 2021, Dorsey also underestimated the progress of the cryptocurrency.

Nostr is a decentralized “Twitter killer” network that incorporates Bitcoin Lightning-based payments on the “Damus” platform. Dorsey recently contributed cash and endorsed Nostr.