Open Letter From Ripple Asks US Gov’t For Fair Crypto Regulation

Blockchain payment network Ripple signed an open letter to United States regulators on July 28 ahead of fresh hearings on cryptocurrency regulation this week. 

In the wake of mixed feelings from Congress on both Facebook’s Libra digital currency and crypto more broadly, Ripple CEO Brad Garlinghouse appealed to Washington to be lenient in its future approach.

The letter, which follows other recent concerns from Garlinghouse, begins:

“Many in the blockchain and digital currency industry are responsible actors. We are responsible to U.S. and international law. We are responsible to serving the greater good.”

Ripple is the company behind the altcoin of the same name, XRP, used as a native token for its payment network and associated projects.

The network has seen interest from banks around the world, most of which are keen on cutting costs of international transactions in particular.

The company and its executives have meanwhile often found themselves at the center of controversy in the cryptocurrency world, due mainly to questions surrounding Ripple’s relationship to XRP and disputes over its decentralization.

In the letter, Garlinghouse appeared to continue that tone, unveiling rare praise of central banks and government monetary policy — something which Bitcoin (BTC) specifically was designed to counter.

He also mentioned trust as an essential component of a currency gaining wider acceptance. Bitcoin, based on mathematics, succeeded because it removed the need to trust any party involved in the transaction process. Garlinghouse continued:

“We don’t take for granted the vital role of central banks in issuing currencies and setting monetary policy in concert with the complex dynamics of economies around the world. For centuries, governments have been well suited for the job because paramount to the acceptance of any currency is trust.”

Concluding, Garlinghouse said the country was in the international spotlight over its response to the innovative sector: 

“We urge you to support regulation that does not disadvantage U.S. companies using these technologies to innovate responsibly, and classifies digital currencies in a way that recognizes their fundamental differences — not painting them with a broad brush.”

As Cointelegraph reported, this week, U.S. lawmakers will again sit to debate cryptocurrency and blockchain policy. The dedicated hearing — “Examining Regulatory Frameworks for Digital Currencies and Blockchain” — is scheduled for Tuesday July 30.