In Short
- Ripple plans to hire across borders in view of the US crypto crackdown, with 80% of hiring outside the US this year.
- Despite paying over $100 million in legal fees in the company’s dispute with the SEC, Ripple CEO Brad Garlinghouse stays confident.
- Ripple’s cross-border payments token, XRP, has lost 11% in two weeks, wiping out all gains since the court win.
Ripple, a San Francisco-based fintech firm, will not be hiring numerous fresh recruits in the United States as part of its ongoing cryptocurrency war. Instead, the cross-border payments firm will look for talent in friendlier environments overseas.
Ripple CEO Brad Garlinghouse made these remarks in a Bloomberg interview on September 13 in Singapore.
Ripple Is Expanding Globally
Garlinghouse stated that more than 80% of Ripple’s crypto hiring this year will take place outside the United States.
“Governments are partnering with the industry and you’re seeing leadership, they’re providing clear rules and you’re seeing growth,” in jurisdictions such as Singapore, Hong Kong, and Dubai, he said.
Back home in America, the company practices the opposite. The Securities and Exchange Commission (SEC) decided to take it upon themselves to regulate the industry through an approach of enforcement and litigation.
When asked if there will be a change in the US, Garlinghouse responded:
“I think there will be some shift as you see new administrations come in. Eventually, Congress will be ‘called to act.’”
At the moment, Congress is moving slowly and holding up on legislation to clarify the status of cryptocurrency.
Garlinghouse stated that Ripple has spent far over $100 million in legal fees in its own dispute with the federal regulator. He said that he is still optimistic of winning, adding:
“You have a government that has unlimited resources to keep fighting a fight they’ve already lost.”
Gary Gensler, the chairman of the SEC, reaffirmed his stance on digital assets on September 12 despite recent court losses.
Also Read: Gary Gensler Stands High Chances Of Losing His Job In 2024: John Reed Speaks
In testimony before the Senate Banking Committee, Gensler blamed the crypto industry’s issues on noncompliance with securities rules.
“Given this industry’s wide-ranging non-compliance with the securities laws, it’s not surprising that we’ve seen many problems.”
Analyst of Bloomberg ETFs James Seyffart discussed the growing criticism of Gensler.
“Tons of senators are going after Gensler for the avalanche of rule proposals in his admin that do not have the backing of Congress.”
Price Outlook for XRP
After the company’s partial victory against the SEC in July, the value of XRP has lost all of the ground it gained. This week, the asset plummeted below $0.47, its July 13 trading level before the court verdict.
XRP increased to $0.85 after the win. As of writing, XRP was flat at $0.475.
The cross-border payments token has dropped 11% in the last two weeks as altcoins have been crushed. It is 86% lower than its January 2018 peak of $3.40.