Ripple CEO Brad Garlinghouse said there is a massive shift in the outlook for cryptocurrencies in the capital, and regulations could spur an inevitable boom in the stablecoin market.
Speaking at the 2024 Consensus Conference, Garlinghouse emphasized the impact of cryptocurrencies on the upcoming election to determine the next US president. According to Ripple's CEO, candidates from both the Republican and Democratic parties are changing the industry's trends, as digital asset ETFs have been a hit on Wall Street and adoption has swept the country.
Republican candidate Donald Trump said his system would support cryptocurrency innovation. However, his candidacy remains controversial after he was found guilty today of 34 counts of forging documents.
Conversely, current President Joe Biden's office has proposed openness to negotiating digital asset policies in response to objection to FIT21, despite clear support for the cryptocurrency bill by Democrats such as Senate Majority Leader Chuck Schumer.
“I think we're underestimating how important some of these changing winds are,” the Ripple CEO said.
Ripple stablecoin
Regarding stablecoins, Garlinghouse noted that the current $150 billion market could grow 10 to 20 times into a multi-trillion ecosystem in the next five years.
The XRP issuer is developing a stablecoin to compete with market giants such as Tether (USDT) and Circle USD Coin (USDC). However, Garlinghouse emphasized that opportunities abound to “lift all boats.”
Excessive speculation and extremism harm the industry
Looking to the future, Garlinghouse said it's time for cryptocurrencies and their participants to show more camaraderie rather than pit blockchain and protocols against each other.
The Ripple CEO pointed to some extreme opinion pieces focusing on Solana (SOL) to highlight, in his view, “hate-filled statements” against market players at a time when industry voices must come together to support widespread cryptocurrency innovation.
Garlinghouse added that the speculative core should be the industry's calling card, noting that meme currencies like Dogecoin (DOGE) have not been beneficial to the industry.
The inevitable SEC and ETF debacle
Furthermore, Garlinghouse opined that Ripple's legal dispute with the SEC and subsequent enforcement actions Exposed to The Commission's supposed hypocrisy, as SEC Chairman Gary Gensler insists there are clear rules but refuses to clarify whether cryptocurrencies like Ethereum (ETH) are considered securities.
Galaxy Digital CEO Mike Novogratz shared similar statements during a separate consensus panel, saying the SEC has failed in its duty to protect American investors and adding: “Gary Gensler's time at the SEC is measured in months, not years.”
Garlinghouse expects crypto lobbying through major political action committees like Fairshake to pave the way for pro-innovation policies and directly pave the way for several ETFs backed by digital assets like XRP, SOL, and Cardano (ADA).
The company donated $50 million to Fairshake last year, and Garlinghouse said Ripple will likely pledge another $25 million by 2025 to support the cryptocurrency squeeze.