Monica Long of Money 2020 expresses concerns about the SEC as a challenging entryway into the US
Monica Long, the President of Ripple, engaged in a discussion with Arjun Kharpal, a Senior Correspondent for CNBC, at Money 20/20 regarding the necessary infrastructure for crypto integration.
Their dialogue revolved around the topic of “Establishing Fundamental Infrastructure,” focusing on how traditional financial institutions perceive and embrace digital assets.
Long highlighted a significant shift in U.S. legislation and the reception of digital assets by traditional financial institutions, noting the approval of a Bitcoin ETF in the U.S. as a pivotal moment for crypto adoption. “The involvement of BlackRock was a significant milestone,” Long remarked, acknowledging that many financial institutions are gradually embracing crypto technology as a modern financial framework.
Despite the recent approvals of Ethereum (ETH) and Bitcoin (BTC) ETFs, Long stressed the importance of clearer regulations. She emphasized the benefits of institutional decentralized finance (DeFi) in basic banking transactions when discussing the practical applications of digital assets.
“Basic financial services such as deposits, payments, lending, credit, and capital markets can greatly benefit from a more global, open, and efficient system,” Long stated, drawing parallels between blockchain’s potential impact on finance and the internet’s impact on communication.
Long also highlighted the European Union’s Markets in Crypto-Assets (MiCA) regulation as an example of a transparent regulatory framework and hinted at the United States’ gradually improving relationship with crypto.
Expressing cautious optimism about regulatory clarity in the U.S., Long mentioned that stablecoin legislation could be a positive development.
In addition, Long delved into the debate surrounding private versus public blockchains, noting that private blockchains are still utilized for technologies like central bank digital currencies (CBDCs), while significant progress has been made in public ledgers. For instance, Société Générale issued the first euro stablecoin on a public ledger, and Ripple is set to launch a regulated US dollar stablecoin.
Discussing fraud within the industry, Long emphasized the distinction between fraudulent behavior and the technology itself, particularly in light of scandals like FTX. She clarified that while fraud exists within the industry, it does not define the technology as a whole or label all participants as fraudsters and criminals.
Long underscored that FTX’s collapse and fraud do not represent the entire crypto industry, emphasizing that positive blockchain applications continue to exist despite the lingering impact of such events. It is crucial to differentiate between fraudulent activities and the legitimate applications of the technology, she concluded.
