Ripple and its native coin XRP continue to make waves around the world, with several recent news showing that the company and its crypto project are advancing, despite the XRP price stagnation.
In the recently-released Ripple Drop episode 15, the XRP community got a chance to hear a new interview with Ripple co-founder Chris Larsen, who spoke about how blockchain and crypto assets help build the Internet of Value.
Watch this extended interview with Ripple Co-Founder @chrislarsensf on why @interledger and #XRP are critical components in building the #InternetofValue. https://t.co/SKSpNWe7NI pic.twitter.com/Ca52JjoBqb
— Ripple (@Ripple) September 6, 2019
Larsen explains that blockchain provides an infrastructure for moving value around the world. Not only that, but digital assets are not feasible unless there is a blockchain in the first place.
As per one of the main heads behind Ripple, Chris Larsen, the existence of cryptocurrencies is extremely important, as it helps reduce liquidity cost. Further, he admits that fiat currencies are likely to remain the dominant ones, but they can still make use of cryptocurrencies to enable a straightforward translation of value. In other words, the two can not only coexist, but even help each other, and in the process — the global economy itself.
However, for all of this to become a reality, it does require one key component, according to Larsen. That component is regulatory clarity.
As many are aware, regulatory clarity in regards to cryptocurrencies is currently completely absent as far as the US is concerned. This harms the crypto industry, as it makes the sector confusing and inconsistent. This lack of regulation damages innovation as the funders of these technologies tend to hold back. Understandably, in such situations, innovators hold back or even leave the country to invest in crypto-friendlier environments.
Larsen believes that the most critical aspects of successful regulation is to take in consideration consumer protection, a proper environment for innovators, and the recognition of the importance of the job that other regulators are doing. The combination of these three components is what can make the US crypto-friendly and resolve the issues such as confusion and the investors and innovators leaving.
Ripple is at its strongest in India and Japan
From Larsen’s interview, it is rather clear that Ripple’s officials understand that the future of cryptocurrency in the US depends on the clarity and building a friendly environment. However, the regulatory situation in the US is not seeing any advancements as of yet, which prevents coins — including XRP — from finding their substantial use cases in the US.
Emphasis on "Regulatory Clarity"!
— Mr. B XRP (@XrpMr) September 5, 2019
However, the situation is different on the other side of the world, particularly in India and Japan. Some reports claim that around 61 of Japan’s 200 banks are open to, or even preparing to use Ripple’s XRP.
At the same time, all of India’s banks seem to be interested in XRP’s potential and are interested in using xCurrent to benefit from it. So far, XRP and Ripple seem to have managed to leave a strong impression in Asia, with countless of banks from many different countries are showing interest in its cross-border payments technology.
For now, Ripple continues to work on integrating its payment solutions in Japan and India, and while it seems that they are ready to make the same move in the US — the lack of clarity mentioned by Chris Larson appears to be holding the company back.
Disclaimer: The presented information is subjected to market condition and may include the very own opinion of the author. Please do your ‘very own’ market research before making any investment in cryptocurrencies. Neither the writer nor the publication (TronWeekly.com) holds any responsibility for your financial loss.