Monica Long at Money 2020 SEC poses challenges for us in the US
During a recent appearance at Money 20/20, Monica Long, the President of Ripple, engaged in a discussion with Arjun Kharpal, a Senior Correspondent for CNBC, focusing on the necessary infrastructure for crypto integration.
The conversation revolved around the theme of “Establishing Infrastructure Foundations,” delving into how traditional financial institutions view and embrace digital assets. Long highlighted a notable shift in U.S. legislation and the acceptance of digital assets within traditional finance institutions, pointing to the approval of the Bitcoin ETF in the U.S. as a pivotal moment for crypto adoption. She specifically mentioned BlackRock’s participation as a significant milestone in this process, with many financial institutions gradually incorporating crypto technology into their operations, recognizing it as a modern financial framework.
Despite recent approvals for Ethereum (ETH) and Bitcoin (BTC) ETFs, Long stressed the importance of clearer regulations. When discussing the practical applications of digital assets, she emphasized the benefits of institutional decentralized finance (DeFi) in fundamental banking transactions.
Long drew parallels between blockchain’s potential impact on finance and the internet’s impact on communication, underscoring the necessity for more regulatory clarity. She commended the European Union’s Markets in Crypto-Assets (MiCA) regulation as a model for clear regulatory guidelines and hinted at the improving relationship between the United States and crypto, albeit at a slow pace.
Expressing cautious optimism about regulatory transparency in the U.S., Long suggested that stablecoin legislation could be a positive development. She also touched upon the ongoing debate surrounding private versus public blockchains, highlighting the continued use of private blockchains for technologies like central bank digital currencies (CBDCs) while acknowledging the advancements in public ledgers.
Ripple’s upcoming launch of a regulated US dollar stablecoin was also mentioned, along with notable achievements in the public ledger space, such as Société Générale’s issuance of the first euro stablecoin on a public ledger.
Long addressed the issue of fraud within the industry, distinguishing between fraudulent behavior and the underlying technology. She clarified that incidents like those involving FTX do not represent the entire crypto industry, emphasizing the positive applications of blockchain technology despite isolated cases of fraud.
In conclusion, Long stressed the importance of differentiating between fraudulent activities and legitimate technological advancements, urging a nuanced understanding of the industry beyond negative events.
