Brad Garlinghouse, the CEO of Ripple, Tweeted about his recent talks with Steven Mnuchin, Secretary of Treasury of the US. The talks were held on how responsibly the Trump administration can regulate the cryptocurrencies.
In his tweet, he agrees with Mnuchin concern on the fact that cryptocurrency may replace fiat currencies in the upcoming future. He also tweets about President Trump’s disapproval of cryptocurrencies. President Trump tweeted about his distaste of cryptocurrency and also commented on their unlawful use.
Following the tweet, Mnuchin addressed the entire nation about the budding digital currencies. Although his speech was also not positive about cryptocurrencies, this has left the whole crypto industry scratching their heads.
In his speech, he also mentioned about Libra and Bitcoin. He also said government authorities would not tolerate unlawful use of cryptocurrencies. As per him, the digital financial service industry is bound by the same AML policies as the traditional banking system. He also said crypto transmitter should also comply with BSA and list with FinCEN.
He also plans to crash down those exchanges that offer digital assets but not comply with the law.
On this, Garlinghouse says after the emergence of Bitcoin, much lawful industry has grown up around the crypto assets, regulating them responsibly can result in innovation. He also agrees with Mnuchin that the entire crypto industry should not be portrayed in the same way. Regulators and the people from crypto industry should work in an organized manner.
Garlinghouse further stated in his tweet that to maximize the progress of crypto industry one has to work with the existing financial system not against it. If it is not done, then they have to compromise with the innovation in the US and foreign interests will take control of the new global economy.
Presently Ripple possesses above half of the overall amount of XRP in circulation and uses it in cross border businesses through xRapid. To highlight the speed of digital assets, Garlinghouse said, XRP can solve the trillion-dollar problem of cross border businesses more economically by working as a link. They are already working with a regulated financial institution to solve this problem.