- Ripple’s CEO, Brad Garlinghouse, claims that his company can operate outside the United States if XRP is declared a security.
- Garlinghouse believes that the Chinese Communist Party can make a 51% attack on the Bitcoin network (BTC).
In an episode of the Pomp Podcast, Ripple CEO Brad Garlinghouse spoke with Morgan Creek Digital co-founder Anthony “Pomp” Pompliano. Among the topics covered in the interview, Garlinghouse talked about the U.S. regulatory environment, Ripple’s possible migration out of the U.S., and a key issue for the company: the possibility of XRP being classified as a security.
In that regard, Garlinghouse highlighted the “frustration” that exists towards U.S. regulatory authorities over their stance on cryptocurrencies. Citing a Justice Department report that attempted to unify the views of regulatory authorities, Garlinghouse said at least seven different positions were cited. Therefore, demonstrating the lack of unity in their criteria.
In operational terms, Ripple has about 150 potential customers in the United States who require regulatory clarity before they can begin using the company’s products that leverage XRP. Therefore, Garlinghouse believes that Bitcoin and Ethereum have an unfair advantage when they were classified as commodities.
Ripple’s CEO believes that China is the biggest winner because the Chinese Communist Party “controls these technologies”. When asked if there is a possibility that China will make a 51% attack on Bitcoin’s network, Garlinghouse responded “of course”.
Garlinghouse was not concerned about the possibility of XRP being classified as a security. Ripple would be able to exist if this materializes. This is because most of the payment solutions company’s customers that use XRP are outside the United States. Garlinghouse added:
It’s my very strong opinion that it’s very hard to look at XRP as a security. You know if XRP were deemed a security here in the United States that, you know, we have other G20 markets that have taken a different view. I’m not aware of any market globally that thinks that XRP is a security.
The company has a pending lawsuit filed by early investors of an XRP ICO claiming losses caused by Ripple. Therefore, they are attempting to have XRP classified as a security to obtain monetary compensation for their alleged losses. However, Garlinghouse said that if XRP is classified as a security they could continue to operate with a license in the United States and continue to expand outside the country.
New episode with @bgarlinghouse is live!
We discuss crypto regulation, the US approach vs other jurisdictions, whether Ripple would leave the US, how the SEC & OCC affect regulation, and what a Biden presidency could look like for crypto.
— Pomp 🌪 (@APompliano) November 26, 2020
XRP buying opportunity
As reported by CNF, XRP has had a significant increase in price in the last few days. Motivated by progress in the development of XPRL and the confirmation of Ripple’s partnership with Bank of America (BoF). The trader Credible Crypto believes that XRP will reach $25 to $30 in the next bullish cycle. Therefore, he believes that the recent market crash represents a good buying opportunity.
At the time of publication, XRP is trading at $ 0.53 with losses of 2.54% in the last 24 hours. In the weekly and monthly charts, XRP has had gains of 76% and 112% respectively surpassing Bitcoin and Ethereum, it is the best performing cryptocurrency in the last month.