Republican Representative William Timmons has formally requested the Securities and Exchange Commission (SEC) to disclose internal documents detailing its historical stance on Ether’s classification under securities law.
This request specifically seeks clarity on perceived inconsistencies in the SEC’s position regarding Ether, particularly highlighting shifts between the tenure of former SEC Director William Hinman and current Chairman Gary Gensler.
In 2018, Hinman publicly stated Ether was not a security. However, under Gensler’s leadership, the SEC later declined to confirm this position, creating significant regulatory ambiguity and initiating an investigation into Ether’s classification.
The SEC’s inconsistent messaging on Ether’s status is cited as contributing to market instability, impacting investor confidence and hindering the approval process for crypto-related financial products, including ETFs.
This congressional request follows Coinbase’s earlier Freedom of Information Act (FOIA) request for similar documents. The SEC denied Coinbase’s request, leading to legal action where a federal judge subsequently ordered the agency to release certain records, revealing internal disagreements on Ether’s status.
Timmons’ action aligns with broader industry calls for definitive regulatory clarity, arguing it is essential for fostering market stability and supporting innovation within the cryptocurrency ecosystem.