Brad Garlinghouse, CEO of Ripple: “The era of crypto repression in the US is now behind us”
By Angel Di Matteo @shadowargel
The CEO of Ripple assures that the times when the industry faced strong restrictions due to regulators “it’s already behind us”and that even if there is a change of government in the coming years, we will not see times as dark as those promoted by Gary Gensler during his mandate in the SEC.
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- Brad Garlinghouse affirms that a change in government will not reverse the regulatory progress of the crypto industry.
- He criticizes the hypocrisy of traditional banking for denying access to key infrastructure.
- Defends the need for legal clarity after the court case of Ripple with the SEC.
The executive director of Ripple, Brad Garlinghouse, considers that The cryptocurrency industry in the United States will not again face the hostile environment that characterized the years of greatest regulatory tension, even if there is a change of administration in the White House.
Garlinghouse’s statements came into place during his speech at the conference DC Fintech Weekreviewed by The Block. There, the businessman maintained that the sector has overcome the stage of persecution led by the former president of the Securities and Exchange Commission (SEC), Gary Genslerwho promoted a policy of “regulation through law enforcement”.
Moving to a pro-crypto agenda
Garlinghouse recalled that under the current government of donald trumpthe White House has adopted a much more favorable tone towards digital assets. The president even promised during his campaign that he would turn the United States into “the crypto capital of the planet.”
Trump and his family have maintained ties to the ecosystem, including participation in the decentralized finance and stablecoin project World Liberty Financialas well as the issuance of memecoins during the first months of his presidency.
During the previous administration, Gensler led the SEC and adopted a cautious stance regarding crypto assets. In his mandate, the The agency took legal action against multiple companies in the sector, arguing that the majority of the tokens should be considered securities.
The case Ripple: a turning point for regulatory clarity
The company Ripple was one of the most affected by that line of action. In 2020, the SEC accused her of having collected USD $1.3 billion through the sale of the token XRP, considered by the organization as an unregistered value.
The dispute lasted for several years and ended after a ruling by the judge Analisa Torres, who determined that programmatic sales—carried out through blind processes in the open market—did not violate securities laws. However, it did consider that direct sales to institutional investors constituted an offering of securities.
“The important thing is that the sector needs the same clarity that Ripple achieved after a lawsuit USD $150 million and a federal sentence”Garlinghouse said. “We had to fight to get it, and we will continue to do so so that it benefits the entire industry.”
TradFi vs. crypto: a claim for equal conditions
The executive also criticized the traditional financial system, which he described as “hypocritical”. He noted that crypto institutions face obstacles in accessing master accounts of the Federal Reserve (FED)a fundamental requirement to connect directly with the US payment system.
A master account grants direct access to the monetary supply and reduces dependence on intermediary banks. Garlinghouse maintained that if the crypto sector complies with the regulations of know your customer (KYC) and anti-money laundering (AML), should have the same access to infrastructure as banks.
“You cannot demand a standard and then prevent us from accessing the infrastructure. That is dishonest,” he emphasized during his speech.
Legislative perspectives and collaboration with the government
Garlinghouse took advantage of his participation to comment on the progress of legislation on digital assets in the Congress. He revealed that he has had conversations with members of Trump’s team, including a dinner with the president before his inauguration.
The House of Representatives approved its version of the regulatory law with 294 votes in favor and 134 againstreceiving bipartisan support. In it Senate, the republicans of the Banking Committee They promote a project that divides the powers between the SEC and the Commodity Futures Trading Commission (CFTC)and introduces the concept of “auxiliary assets” to define which cryptocurrencies are not securities.
However, the process faces obstacles. A recent proposal from Democrats Senate, focused on combating illicit activities in the decentralized finance (DeFi), It generated criticism from Republicans and the industry, who consider it unviable.
Despite this, Garlinghouse maintains an optimistic vision: “The ship has already sailed. You can’t put the genie back in the bottle,” he declared, alluding to the fact that the adoption of cryptocurrencies in the United States is irreversible.
Article written with the help of an AI content writer, edited by Angel Di Matteo / DailyBitcoin
Original image from DiarioBitcoin, created with artificial intelligence, free to use, licensed under Public Domain.
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