The chairman of the SEC clearly stated that Ethereum is not a security, adding fuel to the trend of institutional adoption.

Paul Atkins, the chairman of the SEC, stated in an interview with CNBC that the SEC has "informally" classified Ethereum (ETH) as a commodity and does not consider it a security. Atkins remarked during the interview that the rapid adoption of ETH by institutions is "encouraging," believing that this trend heralds a bright future of "innovation and development" for the blockchain industry. Meanwhile, Ethereum ETF inflows have set a record, and on-chain ecosystem activity continues to rise.

SEC Chair States: Ethereum is Not a Security

The new chairman of the SEC, Paul Atkins, recently pointed out in a CNBC program that the SEC currently views Ethereum as a commodity similar to Bitcoin, although this position has not yet been formally filed. He emphasized: "Like Bitcoin, the SEC is currently informally stating that Ethereum is not a security."

This statement is an important signal from the SEC under the new Trump administration to promote clarity in cryptocurrency regulation. Earlier this year, the SEC's crypto assets working group held multiple roundtable meetings with industry-leading companies, aiming to provide classification guidance on major crypto assets.

In contrast, former Chairman Gary Gensler was vague during his tenure regarding whether ETH constitutes a security and conducted multiple investigations into it, leaving the market in a prolonged state of uncertainty.

Although Ethereum and Bitcoin are both considered commodities by the U.S. Commodity Futures Trading Commission (CFTC), there are still disagreements regarding the regulatory framework surrounding the ETH staking mechanism. Currently, the SEC is delaying the review of several applications for staking ETH spot ETFs, including those submitted by financial giants such as BlackRock.

Institutional buying surges, ETH market strongly recovers

Atkins stated in an interview that the rapid acceptance of ETH by institutions is "encouraging" and believes this trend indicates a bright future of "innovation and development" for the Blockchain industry.

Multiple companies are rapidly incorporating ETH into their balance sheets, including industry pioneers like BTCS, SharpLink Gaming, and Gamesquare. According to media outlet Coingape, Ethereum Machine plans to launch and go public with $1.6 billion in ETH capital.

At the same time, the Ethereum ETF continues to attract a large influx of funds and has set a new record. Driven by the dual forces of the ETF funding boom and favorable regulations, ETH has risen over 24% in the past seven days, currently priced at $3,782, completely erasing the decline from the first half of the year.

SEC's tone is expected to further expand ETH's market value

This clear statement is of great significance to the market, meaning that Ethereum's future legal status within the US financial system will be more solid. Market analysis suggests that if the SEC ultimately formally classifies ETH as a commodity, it may promote the approval of more financial products, including ETH ETFs, and further stimulate the flow of funds from Bitcoin to ETH and other mainstream Layer 1 blockchains.

In the future, clearer regulations and continuous institutional accumulation will become important driving forces for the long-term bullish trend of ETH.

Conclusion: Ethereum welcomes the dual benefits of regulatory clarity and institutional entry, boosting its price to rebound strongly. For crypto users focusing on the ETH ecosystem and mainstream Layer 1 assets, this moment is a crucial time to closely monitor policy trends and ETF developments.