Michael Saylor, executive chairman and co-founder of MicroStrategy, anticipates that the SEC will classify Ethereum as a security this summer and dismiss spot ETF applications from various asset managers, including BlackRock. Saylor made this prediction during a presentation at the MicroStrategy World 2024 conference and further forecasted that other cryptocurrencies "down the stack," such as BNB, Solana (SOL), XRP, and Cardano (ADA), will also receive an unregistered security designation.

Saylor emphasized that none of these cryptocurrencies will be included in a spot ETF or gain acceptance on Wall Street, asserting that only Bitcoin (BTC) has achieved full institutional acceptance. He referred to BTC as the "one universal" institutional-grade crypto asset, stating that there won't be another like it.

MicroStrategy, led by Saylor, has been notable for its exclusive focus on Bitcoin. These statements follow MicroStrategy's announcement of adding $1.65 billion of BTC to its corporate holdings in the first quarter, alongside the unveiling of its Bitcoin-based decentralized identity (DID) product.

The market's optimism about the approval of spot Ethereum ETFs has dwindled in recent weeks, with expectations declining significantly. Polymarket currently places the odds of approval at a mere 11%. The critical date for the SEC's decision is May 23, when it must rule on VanEck's proposed ETF, with decisions expected on other similar applications simultaneously.

Additionally, the SEC may need to clarify whether ETH is a security. Consensys, a blockchain development company, intends to compel the SEC to declare ETH is not a security in a legal case. US lawmakers have also requested clarity on this matter, particularly in relation to another company, Prometheum.

A clear designation for ETH could provide companies with a definitive approach to handling the asset. However, such a designation could impact the approval of certain products, like a spot ETF, by the SEC and influence companies' decisions on working with ETH without proper registration.