Cryptocurrency regulations should not be a guessing game. For this reason, Ripple, the San Francisco-based payment company behind RippleNet, will consider Japan, Singapore, the United Arab Emirates, Switzerland and the United Kingdom as potential destinations if they move from the United States, its CEO, Brad Garlinghouse Bloomberg said in an interview on October 21.
Ripple considers five countries if the United States is slow
Ripple is a for-profit company. Its executives, especially Brad Garlinghouse, have been urging U.S. regulators to formulate and implement appropriate encryption rules to help spur emerging sector growth in the world's leading economy.
Brad said that considering the weight of the regulation, there should be more clarity. In fact, regulations should not be left for interpretation. Instead of conjecture, U.S. lawmakers should clarify whether cryptocurrencies are commodities, properties, currencies or bonds.
While blockchain companies in the United States remain in limbo, Japan, Singapore and other countries that the payment company is considering have taken steps to develop appropriate laws that guide projects, clearly stating their expectations and what they must do to operate without problems within the limits of the law.
"The common denominator among all of them is that their governments have created clarity about how they would regulate different digital assets, different cryptocurrencies. Regulation should not be a guessing game. Ripple is definitely a proud American company and we would like to stay in the U.S. if that were possible, but we also need regulatory clarity so we can invest and expand the business."
Japan, for example, Brad said, has created an environment that allows the development of a very healthy market. It is in this jurisdiction that Ripple has a fruitful relationship with SBI Holdings, one of Japan's largest financial giants.
Through their partnership with the Yoshitaka Kitao-led company, they established SBI Ripple Asia, an alliance that helps drive the Ripple brand in Southeast Asia.
New Regulatory Framework in the United States
As BTCManager reported, the Conference of State Bank Supervisors - representing regulators from all U.S. states and territories in mid-September - launched a new regulatory framework for Fintech companies, including cryptocurrency companies.
They agreed on a single set of supervisory rules to reduce compliance costs, making it possible for money transmission companies, including cryptocurrency exchanges, to expand easily in different U.S. states.