The inability of US authorities to implement clear and precise regulations on the cryptocurrency industry is “frustrating,” commented the CEO of Ripple – Brad Garlinghouse. The executive also blasted the country’s regulator for being the only world watchdog insisting that the XRP token is a security.
US Trails Behind Other Nations For Crypto Clarity
With the growth of the cryptocurrency industry in the past year or so, world regulators began discussing more actively what type of legislative framework should be established. However, some countries have been at the forefront with a more open-minded approach, while others, such as the US, have fallen behind, according to Ripple’s Brad Garlinghouse.
In a recent CNBC interview, he described the US’s attempts as “frustrating.” The world’s largest economy has proposed a few potential rules, but the cryptocurrency industry bashed them for being restrictive. Ultimately, the Biden administration paused their development.
The latest initiative came yesterday as the House of Representatives passed a bill to create a joint crypto task force with the SEC and CFTC.
Nevertheless, Garlinghouse believes this approach could be a bit too late, especially compared to more advanced nations:
“I give credit to markets like Singapore and even parts of Korea where there really has been a thoughtful government-led effort to define and have clear regulatory frameworks around cryptocurrencies.”
Only the US Sees XRP as Security
When criticizing the US for its lack of decisive actions in terms of crypto regulations, Garlinghouse took the opportunity to blast the nation’s financial watchdog for its assertion that the XRP token is a security.
“Ironically, here in the United States, they have not provided that same clarity. It is the only country on the planet that has said XRP is anything other than a currency. The SEC has said… XRP is a security. And so we’re now engaged in a court discussion. For far, I feel good about how that’s been going, but it’s certainly frustrating.”
As reported before, the Securities and Exchange Commission alleged the payment processor of conducting an unregistered security offering for the XRP token. While both parties continue with their legal battle, other nations refused to go down that road and asserted that Ripple’s native digital token is indeed a currency.