If ether (ETH), the coin that runs Ethereum, is found to be a 'security' by the Securities and Exchange Commission, it's hard to imagine how the blockchain even functions in the United States.
is a security model for blockchains, defining the process by which all transactions on it are verified., a system where lots and lots of people check all transactions on the network and earn rewards in fresh ETH for doing so.
Those doing the checking and earning rewards will need to put a stack of ether at risk , and those funds could be taken if any are caught attempting to manipulate the ledger.them to one of these companies checking the blockchain and share in their earnings.The fact that ether can make money for itself when Ethereum reboots could potentially raise red flags.SEC v. W. J. Howey Co. of 1946that make something a security.
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