Ethereum co-founder Joseph Lubin believes Ethereum and Bitcoin are pioneers in the industry, who avoided claims from regulators, unlike new projects.
Joseph Lubin expressed his opinion in an interview,adding that regulatory authorities began to tighten conditions for new blockchain startups. Given that the number of new projects is constantly growing, they are required to comply with strict regulatory requirements and often comply with securities laws.
According to Lubin, in order to sell hisutilitarian token, the company must convince investors that the price of this token will increase over time. Such a forecast is based on the opinion of the developers and the issuing company, so the asset is actually sold as a security.
“It turns out that the company does not sell utilitarian tokens, but tokenized securities, so there is no way to do without the law on securities,” Joseph Lubin said.
As for Ethereum, Lubin emphasized itsuperiority over other new projects, calling the innovator and pioneer. The founders of the project “caught the moment” when it was possible to sell ETH, without wondering if such a sale meets the requirements of regulators. At that moment, the cryptocurrency industry was in its infancy, and was not regulated by anyone.
Lyubin added that now projects will not be able to simply announce the issuance of a utilitarian token so as not to register it as a security.
“Now even the most competitive and technically advanced project can face regulatory problems. In addition, it will be very difficult for beginners to overtake Ethereum, ”said Joseph Lubin.
This month, Lubin expressed interest in working with China's state-owned cryptocurrency, and in June criticized Facebook's stable Libra due to weak decentralization.