The CFTC says Ethereum is a commodity. The SEC says it may be a security. Let's look at the facts...

The Ethereum team dolled out 70% of the coin supply to insiders and early investors before making the code public.

Ethereum has a central development fund.

Ethereum has a central team of developers, and Vitalik makes the final call on all development decisions.

Ethereum holders expect the price to appreciate as the development team develops new use cases, therefore they are expecting to profit off of the work of others.

For all of these reasons, Ethereum qualifies as an unlicensed security.