The cryptocurrency community has reacted strongly to comments made by Michael Saylor, co-founder and Executive Chairman of MicroStrategy, labeling Ethereum (ETH), Cardano (ADA), and XRP as securities during the firm’s Bitcoin for Corporation event. The crypto leaders suggest that Saylor’s comments were self-serving.
Crypto Leaders Flay Saylor’s Self-serving Motives
Dan Gambardello, a prominent Cardano advocate, expressed surprise at Saylor’s remarks, questioning why a leading spokesperson for Bitcoin, who holds over 200,000 BTC, would make such comments.Â
Gambardello implied that Saylor’s perspective is probably influenced by his significant Bitcoin holdings and could be interpreted as self-serving, given his vested interest in Bitcoin’s success.
The lead spokesperson for Bitcoin who holds over 200,000 BTC would say this… https://t.co/w1KvFdUz3q
— Dan Gambardello (@cryptorecruitr) May 3, 2024
Saylor’s statements which sparked off a heated debate was made at his corporation event where he asserted that Ethereum spot ETF approval by regulators this summer will not happen.Â
The MicroStrategy executive chairman says regulators will classify Ethereum and everything down the stack as securities rather than commodities. He also claimed that these cryptocurrencies would not be eligible for a spot ETF.
“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,” Saylor stated.
Potential Impact on Investor Confidence and Regulatory Clarity
Beyond Gambardello, Saylor’s remarks have drawn sharp criticism from various industry stakeholders, who view his comments as potentially harmful to the development and adoption of cryptocurrencies beyond Bitcoin. The polarizing effect of his comment is seen in the light of trying to ‘bad-mouth’ other digital assets.
On his part, Charles Hoskinson, founder of Cardano, responded to Saylor’s comments on X, highlighting the inconsistency in the narrative promoted by some Bitcoin maximalists. He shared a post that read, “Bitcoiners: ‘Why is Charles attacking Bitcoin? Altcoiners are so Toxic.’ Bitcoin Maxi’s: ‘Literally everything but Bitcoin is illegal and a scam.'”
Many industry stakeholders believe that Saylor’s comments could create unnecessary division within the crypto community, potentially affecting investor confidence in non-Bitcoin assets. Besides, with Ethereum’s application for a spot ETF pending before the U.S SEC, many believe his comments were unnecessarily provocative and a way to maintain the monopoly of Bitcoin.
