Brad Garlinghouse Discusses the Impact of XRP Regulatory Uncertainty on Ripple’s Customers

The Ripple CEO, Brad Garlinghouse has recently aired his opinion on the reason why the international payment giant, PayPal, decided not to list the fourth-largest cryptocurrency by market capitalization, XRP, with the digital currencies it will allow in its new crypto business.

A few days ago, the payment giant announced its intention to add new features that will enable its users to buy and sell cryptocurrencies on its payment platform.

The company said it will launch the new features in early 2021. The digital currencies that will be allowed at launch include Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC).

Read Also: Ripple CEO: Demand for XRP Cross-Border Payments Product Is Increasingly More Than Its Liquidity

Brad Garlinghouse Explains Why PayPal Excludes XRP

In a recent conversation with Bloomberg, Brad Garlinghouse opined that PayPal feels safer with the listed crypto assets from a regulatory viewpoint.

He noted:

“PayPal I think has said they plan to go live with Bitcoin and Ether, and part of that goes back to the regulatory clarity. If you are a company looking at investing in or building upon a technology like XRP or like other digital assets, if there’s not regulatory clarity, then you’re likely to go with the ones that are clear.

And that’s what you’ve seen, I think, not just with PayPal but certainly others in the marketplace that say, ‘I’m going to start with Bitcoin and Ether because they have the good housekeeping seal of approval in the United States.’

In other countries, frankly, like Japan, you see a much broader base where there is a level playing field and you see multiple participants achieving success in that market.”

Additionally, in a tweet shared on 21st October in response to PayPal’s announcement, Garlinghouse said the fact that the payment behemoth won’t allow users to transfer digital assets to other wallets is a disappointment.

Read Also: Newly Discovered White House Records Reveal That Ripple CEO Met With Senior Trump Administration Official In 2018. Was XRP Discussed?

He wrote:

2 steps forward, 1 step back…Great to see a payment pioneer leaning in, BUT disappointing some fundamental tenets/benefits of crypto are spurned. I suspect PayPal is concerned about the (wait for it…) regulatory uncertainty, impacting its roll-out on a number of levels.

Meanwhile, Ripple, the cross-border payment giant, has been considering a move away from the United States, citing a hostile regulatory atmosphere. And its most likely destinations are said to be Japan and Singapore.

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Solomon Odunayo

By Solomon Odunayo

Solomon Odunayo is an accomplished blockchain and cryptocurrency expert at Herald Sheets, known for his in-depth analysis and engaging articles that cater to both beginners and experienced readers. With a degree in Computer Science from the University of Lagos, Solomon leverages his technical background and keen understanding of the crypto space to provide readers with valuable insights and up-to-date news. His passion for innovation and commitment to staying current with industry developments make him a trusted voice in the digital currency community.