The push for the US government to embrace cryptocurrencies is gaining momentum, with more industry executives joining the call.
Ripple CEO Brad Garlinghouse is the latest to speak out against the government’s crackdown on digital assets. He warns that if the US doesn’t create a regulatory framework for cryptocurrencies, the industry will continue to move offshore, leading to a loss of innovation and economic growth.
Garlinghouse believes that the Securities and Exchange Commission’s case against Ripple is not just about XRP but the entire industry.
The recent wave of SEC enforcement actions is not a healthy way to regulate an industry, he said. He added that the US is already behind other countries, such as Australia, the UK, Japan, Singapore, and Switzerland, which have created clear rules of the road for cryptocurrencies.
According to Ripple’s CEO, creating a regulatory framework for the cryptocurrency industry is crucial to prevent it from moving offshore. He compared the situation to the early days of the internet, where US regulators also considered banning it.
However, creating a regulatory framework for the internet enabled the US to become a global leader in tech giants. Garlinghouse believes that the same can be achieved for the cryptocurrency industry if the US takes the time and thoughtfulness to create clear rules of the road.
SEC Chair Gary Gensler attempted to explain the rationale behind the crypto crackdown, stating that investor protection is a top priority.
Gensler clarified that there is nothing incompatible with crypto and securities laws, which were designed to protect investors against fraud, schemes, and manipulation.
