Uphold, the cryptocurrency exchange platform, recently sent an email to their clients about the uptick in cryptocurrency prices since the SEC’s declaration of Bitcoin and Ethereum as not securities.

“You may have seen the recent announcement at Yahoo Finance’s All Market Summit: Crypto where the U.S. Securities and Exchange Commission Director of Corporate Finance William Hinman announced that the commission would not be classifying ether or bitcoin as securities. The policy echoes what SEC Chair Jay Clayton said recently about bitcoin: that cryptocurrencies are not securities and the definition of “security” would not change to include bitcoin. Following this announcement the crypto market took a positive turn, the price* of Bitcoin is up over $6,500, ETH and LTC are up over 3%, XRP, DASH and BCH all up over 4.5% in the past 12-hours; if you haven’t already, it may be a good time to log-in and see how your portfolio is performing!If you have questions regarding your Uphold account or want to learn more about getting started, feel free to reach out to us support@uphold.com.- The Uphold Team”

The email touched on how the top cryptocurrencies Bitcoin, Ethereum, Litecoin, Ripple, Dash, and Bitcoin Cash have seen sizable upward movements in their respective prices since the announcement. The email reminded clients that it was an opportune time to analyze how their portfolios benefited from the decision.

Sector-wide benefits from the SEC ruling

Even though the SEC only ruled on Bitcoin and Ethereum, the majority of the cryptocurrency market seemed to have benefited because of comparisons between others coins and Bitcoin and Ethereum. Since Ethereum was heavily debated about being a security and does walk a line with ICOs, this allowed consumers to significantly increase their expectations that many of the main cryptocurrencies will not be classified as securities in the future.

Litecoin can pretty easily be compared to Bitcoin since it is a fork of Bitcoin and is still similar in many ways. However, Ripple adds a little more questions since there is both the Ripple currency and the Ripple company, whom produced the Ripple currency, but also aims to produce products to sell to businesses at a profit and generate a return for investors. Dash and Bitcoin Cash were also added since they are forks of Litecoin and Bitcoin, respectively, each with their own modifications. Nevertheless, the market grouping of these cryptocurrencies with the Bitcoin and Ethereum not-a-security ruling by the SEC, as seen in their recent common price trends, demonstrates that many see these cryptocurrencies to be following the same path. By grouping these cryptocurrencies together, it also demonstrates that the market views them as complimentary goods that can coexist in different proportions since consumers want to have a share of similar coins if one or two in the group is doing well.

Dash prospers despite misunderstandings

Despite the proposition above, there have been sizable online callouts of Dash by some in the Bitcoin Cash community for being a security. The argument proclaims that masternodes make a network a financial security since people are investing specifically seeking a return. However, this ignores the fact that masternodes are not traded and instead liquidated, that treasury funds belong to the network instead of the masternodes, that treasury funds are invested for the benefit of the network and not exclusively masternodes, and that masternodes are compensated for a service they provide. Despite the misplaced confusion about Dash, the market continues to value Dash highly because it predicts positive future developments.

The market processed the news and realized that it was a good sign for all other coins that were similar to the ones that the SEC ruled on, which includes Dash. Additionally, regardless of price, consumers continue to buy and use Dash in everyday life, which makes Dash’s counterarguments against regulated security arguments even stronger.