Ripple CEO Brad Garlinghouse has expressed his support for an XRP ETF, highlighting the potential for investors to benefit from increased diversification.
In a Bloomberg interview on Tuesday, Garlinghouse stated, “I think it only makes sense.” He likened the situation to the early days of the stock market, emphasizing the importance of diversifying risk. Garlinghouse also suggested that other ETFs could emerge in the future but noted the difficulty in predicting exactly when.
When asked about potential discussions with issuers regarding an XRP ETF, Garlinghouse chose not to provide further comment.
Garlinghouse also commented on recent developments with the US Securities & Exchange Commission (SEC), noting the authorization of 11 Spot Bitcoin ETFs in January. He highlighted Grayscale’s legal victory over the SEC last year, which compelled the agency to reconsider its stance on Bitcoin ETFs. Garlinghouse suggested that the SEC and Chair Gary Gensler were influenced by these court decisions.
Looking ahead, Garlinghouse emphasized the importance for the US to regain a leading role in cryptocurrency regulation, especially with the upcoming US election. He noted that the US lags behind countries like the UK and the European Union in crypto regulation. Garlinghouse mentioned Ripple’s contributions to the Fairshake political action committee (PAC), aimed at supporting candidates favorable to cryptocurrency.
In terms of business expansion, Ripple recently announced its acquisition of New York-based digital asset platform Standard Custody and Trust Company. This acquisition will provide Ripple with sole ownership of Standard Custody and access to regulatory licenses. Additionally, Ripple acquired Swiss blockchain firm Metaco last year, signaling potential future ventures into asset tokenization.
Garlinghouse’s comments underscore Ripple’s ongoing efforts to navigate regulatory challenges and expand its presence in the cryptocurrency market.