The United States Security and Exchange Commission announced the investigation of Ethereum 2.0 whether to consider it as a security or not. This announcement made Ethereum surge 5% as big investors are ready to dive into the ETH pool, giving bullish sentiments to the crypto market.

In a recent report shared by CoinGape, the Ethereum community prepared well to get the approval of the highly anticipated Spot ETH ETF.

ConsenSys vs. SEC Impact: Ethereum (ETH) Price Rises

On Wednesday morning, a significant rise hit the Ethereum price, making it spike by 5% after heading an announcement from Consensys that the SEC finalized its investigation and approved the Ethereum ETFs.

ConsenSys stated that Ethereum had successfully navigated the SEC’s scrutiny.

According to the blockchain software company, the SEC’s decision to stop investigating means the regulator won’t accuse ETH sales of being securities transactions.

“The closing of the Ethereum investigation is momentous, but it’s not a cure-all for the many blockchain developers, technology providers, and industry participants who have suffered under SEC’s unlawful and aggressive crypto enforcement regime,” the firm added.

SEC Approved Spot ETH ETF

Consensys filed a lawsuit against the SEC in April following the regulator’s launch of an investigation into Ethereum 2.0. According to some reports, the SEC began its investigation in March 2023.

After this, the SEC approved Ethereum ETF in May 2024, with the development to give a conclusion in favor of the agency.

ConsenSys has reached out to the SEC to ask about the progress of its investigation into Ethereum 2.0. Furthermore, in a letter sent earlier this month, ConsenSys requested clarification from the SEC on whether approving the Ethereum ETF would end its current investigation.

In reaction to this approval, major altcoins pump along with Ethereum. DAO rose spiked by almost 19% and other coins like Solana, Wif, Cardano, and UniSwap also surged more than 4%.