Ripple's CEO, Brad Garlinghouse, stated that despite the company's recent court victory against the US Securities and Exchange Commission (SEC), a clear policy is needed to make US banks less wary of cryptocurrencies.
Garlinghouse made these statements at the DC Fintech Week conference and emphasized that despite Ripple's legal success, US-based banks are hesitant to deal with crypto. He noted that banks are still concerned about the US government's hostility towards crypto, and this attitude will continue until there is a change.
Ripple's court victory in July was seen as a significant win for the entire cryptocurrency industry. The case, which has been ongoing since 2020, resulted in a US district judge ruling that the XRP token created by Ripple was not a security in all cases.
However, Garlinghouse criticized the SEC's stance on crypto, particularly Chairman Gary Gensler's description of crypto as the “Wild West.” He suggested that this attitude, rather than a clear policy, was hindering the growth of the crypto industry in the US.
Garlinghouse noted that while the United States has an openly hostile attitude towards crypto, other countries welcome crypto companies and related investments with clear policies. He warned that the US was losing market share and squandering its leadership in the industry.
Although the majority of Ripple employees are based in the United States, Garlinghouse predicts that the country will adopt a constructive regulatory framework for crypto within the next decade. Until then, Ripple plans to continue its expansion elsewhere, with 80% of its hiring this year expected to be outside the US.
Garlinghouse concluded by questioning why anyone would want to increase hiring in the US when it makes it harder for the US company to operate.
*This is not investment advice.
