SEC Lawsuit Hints at Case for US Jurisdiction Over Ethereum (1)

The saga over <-bsp-bb-link state="{"bbHref":"bbg://screens/CRYP","_id":"00000183-5d94-dce6-a7d3-7db5a4d90000","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">cryptocurrency regulation took another twist courtesy of a comment buried in a Securities and Exchange Commission lawsuit that hints at a case for US jurisdiction over the <-bsp-bb-link state="{"bbHref":"bbg://news/topics/ETHEREUM","_id":"00000183-5d94-dce6-a7d3-7db5a4d90001","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Ethereum blockchain.

The suit lodged Monday is against the founder of a crypto investment research firm over allegedly undisclosed incentives linked to an initial coin offering. It also detailed the movement of <-bsp-bb-link state="{"bbHref":"bbg://securities/XETUSD%20BGN%20Curncy/GP","_id":"00000183-5d94-dce6-a7d3-7db5a4da0002","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Ether tokens in relation to the case.

Those Ether transactions originated in America and “were validated by a network of nodes on the Ethereum blockchain which are clustered more densely in the US than in any other country,” ...