David Schwartz, CTO of Ripple, reluctantly concurs with Senator Elizabeth Warren’s warning about cryptocurrency. In terms of regulating cryptocurrencies, he thinks the Massachusetts senator might actually be on to something.
Warren worries that if there is no adequate oversight, cryptocurrency might end up bringing down the economy in recent op-ed published by The Wall Street Journal.
The senator admits that cryptocurrencies may eventually lead to a more inclusive financial system, but she also emphasizes the fact that history is “littered” with a variety of dubious financial schemes that were promoted by “criminals and charlatans.”
The Justice Department should employ its “full range of resources,” according to Warren, because cryptocurrency executives who violate the law are no different from those who use other platforms.
The legislator continued by saying that the US Securities and Exchange Commission also needed to “suit up.” Warren also criticized cryptocurrency mining companies for putting a load on the electrical infrastructure and raising greenhouse gas emissions.
She has emphasized that cryptocurrency must adhere to the same regulations as traditional financial industries.
Schwarz from Ripple says that given Warren’s recognition of the significance of reforming cryptocurrency law, this is not “an bad position to work with.” This, he continues, is crucial for establishing proper crypto rules.
Ripple Looking To Consider Deals For FTX Assets
The demise of the reputable exchange FTX has continued to have a negative impact on the cryptocurrency economy. Many organisations have expressed interest in helping Sam Bankman-failing Fried’s company from the outset. Binance first considered throwing a life jacket but eventually changed his mind. At about the same time, Justin Sun of Tron asserted that he was developing a plan with FTX to “initiate a pathway ahead.”
However, as of late, the blockchain payment giant Ripple has expressed interest in purchasing some of the assets of the struggling cryptocurrency exchange FTX.
The Sunday Times reported that former FTX CEO Bankman-Fried called Ripple CEO Brad Garlinghouse two days before the company declared bankruptcy in an effort to gather investors to save it. The two then talked about if there were any FTX-owned companies that Ripple “would want to own.”
Garlinghouse further stated,
“Part of my conversation [with SBF] was if he needs liquidity, maybe there are businesses that he has bought or he has that we would want to own. Maybe there’s investments that we would want own. Would we have bought some of those from him? I definitely think that was on the table.”