Jack Dorsey, the founder and former CEO of Twitter, has stated that he believes Ethereum (ETH) should be classified as a security amidst the ongoing lawsuit against Coinbase for unregistered operations.

Dorsey, a Bitcoin (BTC) maximalist, also agreed with a statement suggesting that Coinbase should pivot to a Bitcoin-only business model given their entanglement with the US securities regulator.

This discussion occurred shortly after the SEC filed a lawsuit against Coinbase for operating as an unregistered national securities exchange, broker, and clearing agency, as well as failing to register their crypto asset staking-as-a-service program.

Industry leaders such as Charles Hoskinson have criticized the SEC's actions as a threat to financial freedom and an attempt to replace mainstream crypto assets with a government-controlled CBDC.