The United States is one of, if not the worst, places to launch a cryptocurrency startup in the world right now, according to Ripple CEO Brad Garlinghouse, whose company is in a legal battle with the US securities regulator. USA
"The only country I wouldn't encourage you to start a company in right now is the United States," Garlinghouse said at a Sept. 12 panel at Token 2049 in Singapore.
The Ripple boss wants the United States to take note of countries like Singapore, the United Kingdom, the United Arab Emirates, and Switzerland by enacting policies that encourage crypto innovation while protecting consumers.
Garlinghouse pointed out the blame the Securities and Exchange Commission claiming that he is engaging in a political war with the industry with his demands.
That lawsuit strategy is not working, Garlinghouse said, stating Vibe and Grayscale court wins on the SEC may suggest that the court's mood is turning in favor of the industry.
โI think we're seeing the momentum change. I think a lot of judges used to say, 'Well, the SEC is always right,' and they weren't fighting that. [but] โI think youโre starting to see the pattern change.โ
While the results on Ripple and Grayscale are not legally binding, Garlinghouse said the results provide more clarity to crypto exchanges and custody providers operating in the US, at least for now.
OKX President Hong Fang acknowledged the politics at play, but stressed for crypto companies to focus on what they can control.
"We can only control what we can control, which is building the right product, focusing on the technology and supporting responsible regulation."
Even though the United States is a big market for Ripple, Garlinghouse said it is expanding services to countries that he says are more progressive and better understand the potential benefits of blockchain technology.
We May Not Be Ready for a Spot Bitcoin ETF
During the panel, Fang said he believes investors may not be ready for custody solutions built around a potential Bitcoin spot (btc) Investment fund because much of the new blockchain-based infrastructure has not been battle-tested by the masses.
โI think there is a huge implication in custody. [...] โThe question on my mind is whether our industry is really ready for this,โ he said.
Related: Crypto Community Jubilant Over Grayscale Decision, But Uncertainty Remains
Fang acknowledged that a Bitcoin spot ETF will generate more institutional inflows, but he is not convinced that investors can withstand Bitcoin's volatility now and doubted the willingness to continue creating more applications beyond Bitcoin.
"We are actually creating something new, on which we can build, a new monetary system that has not yet come to fruition," Fang said. "So I don't know if we're ready for that yet from an industrial infrastructure perspective."
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