Gary Gensler, the chair of the Securities and Exchange Commission (SEC), has refrained from explicitly stating whether the commission views Ether as a security under its regulation.

In the meantime, Prometheum, a crypto firm licensed as a special purpose broker-dealer (SPBD) for digital asset securities in the United States, has declared its intention to provide institutional custody services for Ether (ETH).

This move was announced in a February 7 post on the social media platform X, where Prometheum hinted at treating Ether as a security for its custody services.

The company's ability to offer these services comes after gaining approval from the U.S. Financial Industry Regulatory Authority (FINRA) in May 2023, indicating compliance with various guidelines proposed by the SEC for handling crypto asset securities.

Prometheum's platform, the Prometheum ATS, facilitates the trading of select digital asset securities that are typically only available on cryptocurrency exchanges.