Ripple’s Chief Executive Officer, Brad GarlinghouseIn a tweet thread from January 3, Garlinghouse stated that he is optimistic that the United States will achieve regulatory clarity for cryptocurrency business in 2023. Garlinghouse expressed the hope that the United States will be remembered for the year 2023 as the year it achieved regulatory clarity regarding cryptocurrencies to mark the start of the 118th Congress. He said that there is support across all political parties and both chambers of Congress for regulation.
Garlinghouse claims that the United States isn’t starting the process of regulation with a blank sheet of paper. Garlinghouse cited numerous pieces of legislation to support his claim, including the Securities Clarity Act (the Responsible Financial Innovation Act and the Clarity for Digital Tokens Act).
Ripple’s chief executive officers believes that there are no greater stakes.
Additionally, he stated that there is not a perfect law and it is highly unlikely that anyone will find one. The effort to create the perfect bill should not hinder the work of Congress in creating crypto rules and legislation.
According to Garlinghouse, the United States is behind Japan, Brazil, Singapore and the European Union in terms of rules and regulations that govern cryptocurrencies.
He said that business is still moving to countries because of the lack of coordinated efforts to create a regulatory framework globally and in the United States. [with] Lower regulatory requirements can lead to sometimes disastrous results such as the implosion a Bahamas-based company.
Ripple, a financial technology company, operates RippleNet, a worldwide payment network. It also has its own cryptocurrency called XRP. The United States Securities and Exchange Commission filed legal action against Ripple in Dec 2020. It claimed that Ripple had sold XRP unregistered as a security item.
Ripple refuted these charges and stated that the XRP cryptocurrency was not a security, but a money.
Garlinghouse told the panel at D.C. Fintech Week in October that he expected the lawsuit against the company to be resolved within the first quarter of 2023. However, he acknowledged that it was difficult for him to say when.