- Ripple CEO Brad Garlinghouse spoke out for 60 minutes
- He spoke out against the former SEC official John Reed Stark
- Stark has said that crypto is a scourge and has no real utility
- Garlinghouse highlighted cryptocurrency’s actual scale and role today
- He also recalled the court ruling in favor of Ripple on the SEC case
Ripple CEO Brad Garlinghouse spoke out on 60 Minutes, revealing an opposing view from former SEC official John Reed Stark who conducted the interview. Stark called cryptocurrencies a scourge, pointing out that they are unsecured and worthless.
Garlinghouse, on the other hand, insisted that cryptocurrencies today are a big market and a solution to many of the problems of the fiat system while seeking regulation, not the opposite. He also recalled the Ripple and SEC case where XRP was not recognized as security and pointed out that outdated rules are not applicable to the new technology.
More Statements from Brad Garlinghouse and John Reed Stark
First of all, attention should be paid to a rather strong statement from former SEC official John Reed Stark regarding cryptocurrencies as such:
“Crypto is a scourge. It’s not something that you want in your society. It’s just pure speculation. There’s no balance sheet to crypto. There’s no financial statements.”
Brad Garlinghouse’s position is fundamentally different and he highlights the facts that can be argued in this regard. He compared cryptocurrencies to the Internet, which in its early stages was either underestimated in terms of its potential or was perceived negatively as an unregulated space and crime tool.
“Look at where the internet is now.”
Similarly, he refers to cryptocurrencies, that more and more companies and entire nations are seeing this as a solution, and highlighting that even JPMorgan is warming up to blockchain technology. So he addressed the FIT 21 bill and commented on the need for regulation, and it is important to have a favorable one:
“We haven’t been asking to be deregulated. We’ve been asking to be regulated. Cryptocurrency industry was simply asking for clear rules of the road.”
He also added to this that Ripple already uses XRP to process billions of dollars in KYC-compliant transactions for institutional clients – a far cry from the “illegal activity” often associated with cryptocurrencies, and asked a fair question:
“Where is the United States better served? Are we served by creating clear rules of the road and having this industry thrive here at home? Or should we push it offshore where people are less protected?”
In addition to this, Stark addressed XRP directly:
“I’ve read every case. I’ve read every motion. And judges have said over and over again that they are securities.”
Obviously, Garlinghouse had an excellent response to this, if you remember how the SEC and Ripple case was resolved. However, Garlinghouse separately commented that the fact of the court ruling that XRP is not a security was “shockingly left out.”
Overall, Garlinghouse commented on Stark’s position throughout the interview:
“Gensler’s shill (John Reed Stark) knows better despite his comments that 60 Minutes chose to air.”
Conclusion
This interview made a lot of noise and generally showed both the crypto industry and Ripple in particular in a favorable light. This is especially bright against the backdrop of a growing crypto market right now and expectations of more favorable crypto regulations from the new Donald Trump administration.
