Ripple CEO Brad Garlinghouse believes the United States is closer than ever to establishing clear rules for crypto, according to his latest social media post.
Garlinghouse argues that Washington’s approach to crypto has changed dramatically over the past 10 years.
This assessment was made after the inaugural meeting of the Commodity Futures Trading Commission’s Innovation Advisory Committee in Washington on Aug. 20. As reported by U.Today, the committee, which was chaired by CFTC Chairman Michael Selig, brought together executives from crypto and traditional finance to advise the agency on various issues pertaining to tech, law, and policy.
“Everyone was in agreement. Rules written for a different era aren’t good enough. Not for consumers. Not for business. Not for innovation,” Garlinghouse said in a post on X.
Ripple’s push for legal clarity
Garlinghouse recalled that Ripple sent an open letter to Congress in July 2019.
In that letter, Garlinghouse and Ripple co-founder Chris Larsen stated that digital assets should be regulated according to their peculiarities. The absence of clarity could negatively affect innovation and job creation.
Now, the US is finally embracing regulatory clarity. In March, for instance, the Securities and Exchange Commission and CFTC jointly clarified how federal securities and commodities laws apply to various crypto assets. The SEC also created a token taxonomy framework.
The CFTC has meanwhile positioned its Innovation Advisory Committee. Garlinghouse is one of dozens of committee members, alongside executives from Coinbase, Uniswap Labs, BitGo, Nasdaq, CME Group, and Cboe.
“It’s not the Wild West”
At the SALT Wyoming event, Garlinghouse stated that the industry was never opposed to regulation.
“Crypto was anti-regulation” is the exact opposite, Garlinghouse said. “That is one of the mis-truths. It’s not the Wild West. In fact, we have sought out regulation. Ripple has 75 licenses around the world.”
Garlinghouse, of course, recalled Ripple’s own five-year legal battle with the SEC.
“Ripple’s in a somewhat unique position because, unfortunately, we had to fight a four-year battle with the United States government and the SEC,” Garlinghouse said. “We had a federal judge write the sentence that $XRP in and of itself is not a security. That is clarity for $XRP,” he added.
