We can see that the Ripple CEO defends the regulation of XRP and in a series of tweets, says that policymakers in the US will need to step it up in order to compete.
“U.S. regulators: now is the time to step up and lean into digital currencies. Remaining complacent is actually setting us back, while China’s grip on both crypto and fiat payments becomes stronger,” he noted.
Additionally, the head of Ripple cites an article which was published by Foreign Affairs, tackling the implications of China’s digital currency on the current dominance of the US dollar.
U.S. regulators: now is the time to step up and lean into digital currencies. Remaining complacent is actually setting us back, while China’s grip on both crypto and fiat payments becomes stronger. https://t.co/NuGmFZmf7x (1/2)
— Brad Garlinghouse (@bgarlinghouse) May 26, 2020
For those of you who don’t know or don’t follow our cryptocurrency news daily, China is already conducting many real-world tests on the national currency – dubbed the digital yuan – and wants to impose economic sanctions against its adversaries.
The Ripple CEO defends regulation of XRP, stating:
“US policymakers are unprepared for the consequences… And China, meanwhile, will use the combination of its digital yuan and strong electronic-payment platforms (such as Alipay and WeChat) to expand its influence and reinforce its capacity for economic coercion in Africa, the Middle East, and Southeast Asia…
Rather than resting on the laurels of the dollar’s decades-long dominance, the United States must act now to protect its economic advantage in the coming era of national digital currencies.”
Garlinghouse also mentioned that he agrees with the overall sentiment of the article – but with one exception. He noted that the notion about crypto being subject to stringent regulations is false.
“One caveat – public digital assets like XRP are not exempt from US (or global) financial oversight — actually the opposite. Responsible players who use these assets want to work with regulators, not against them,” Brad Garlinghouse noted.
As you probably know from our Ripple news, the cryptocurrency project has long pushed for regulators in the US to create clear and common sense crypto regulations. The San Francisco startup wants to be among the first projects which will influence such decisions.