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- Wall Street analyst Linda Jones suggests that Ripple could play a role similar to that of the Federal Reserve in a new financial system.
- Jones believes the BRICS coalition opposes central banks and the dollar’s dominance.
Wall Street analyst Linda Jones has proposed that Ripple could function similarly to the Federal Reserve in a reimagined financial system. During a recent episode of the Good Morning podcast, Jones discussed the BRICS coalition’s efforts to break away from the dollar standard and the potential ramifications for the U.S. economy.
Jones contended that the BRICS coalition’s goal is not to undermine the U.S. but to challenge the central banks and the dominance of a single currency. She suggested that the coalition opposes the Federal Reserve’s control over the global economy through the US dollar. In her view, this shift could lead to the emergence of a new U.S. currency, potentially backed by gold or other tangible assets. Jones emphasized the necessity of moving away from the current fiat banking system, which is heavily reliant on the dollar.
Jones advocates for a financial system supported by real assets rather than the existing trust-based system managed by central banks. She underscored the importance of transitioning to a truth-based system characterized by transparency and accountability.
Ripple as a “New Financial System Leader”
Jones highlighted Ripple’s potential to lead this new system with its XRP Ledger (XRPL) blockchain. She noted that a new currency system requires accountability, contrasting Ripple with Bitcoin, whose founders remain pseudonymous and lack a central point of contact. According to Jones, a known, transparent, and audited entity like Ripple is essential for the success of such a system.
Jones humorously suggested that Ripple could be seen as the new Federal Reserve. However, unlike the current Federal Reserve, Ripple is privately owned and is expected to become publicly traded in the future. This distinction, she argues, positions Ripple to potentially lead a new era of financial systems.
Jones expressed confidence that the U.S. dollar would not lose its value completely before the transition to a new financial system occurred. She stressed that a sudden collapse of the dollar would pose a national security risk. Instead, she envisions a parallel system where various financial structures operate on the XRP Ledger, allowing for a more stable and secure transition.
Abdullah “Abs” Nassif, the host of the Good Morning podcast, shared a snippet of Jones’s remarks on social media, highlighting the significant implications of her analysis.
https://x.com/AbsGMCrypto/status/1808485945219441019
Potential Penalties for Ripple
As reported by crypto news flash earlier, Judge Analisa Torres previously ruled that Ripple breached US securities laws by selling unregistered XRP to institutional investors. The potential penalty ranges from $10 million to $2 billion and could include an injunction against XRP sales to US institutional investors.
The SEC, in its remedies-related opening brief in March, argued for a nearly $2 billion penalty and requested an injunction. Ripple countered with a proposal for a $10 million penalty. The ruling’s outcome may hinge on whether Judge Torres considers post-complaint XRP sales to institutional investors a violation.
In July 2023, Judge Torres ruled that programmatic sales of XRP did not satisfy the Howey Test’s third prong. This led to a significant market reaction, with XRP surging to $0.9327 on July 13, 2023, before falling below $0.50 on August 17 due to fears of an SEC appeal.
