According to Joseph Lubin, co-founder of Ethereum, ETH should not be considered a security but rather a highly liquid product.
In contrast to some officials’ opinions, Lubin believes that air is not a security and that everyone is entitled to their own opinion, but that does not necessarily make it correct.
He argues that ether is more like a commodity, similar to traders buying tons of oil with the intention of making a profit on resale.
Although concerns have arisen among the cryptocurrency community that ether could be recognized as a security, Nic Cary, co-founder of Blockchain.com, is not overly worried about this prospect and questions where American regulators could direct their claims.
These concerns emerged after Ethereum transitioned to the Proof-of-Stake consensus algorithm, with staking funds to generate income potentially satisfying the requirements of the Howey test.
However, Lubin is confident that ETH will not be recognized as a security and has previously stated that there is no chance of this happening.