Brad Garlinghouse: The US Crypto Climate Has Become More Favorable

Brad Garlinghouse: Trump Administration Signals a New Dawn for U.S. Crypto

Ripple's Strategic Shift Back to the U.S.

Ripple CEO Brad Garlinghouse has highlighted a significant change in the U.S. cryptocurrency climate, crediting the incoming Donald Trump administration for creating a more favorable environment for crypto businesses. After years of focusing operations abroad due to regulatory pressures, Ripple is now actively reorienting its business strategy toward the U.S. market.

"Over the past four years, Ripple had to hire the majority of its employees outside the U.S. due to the SEC lawsuit alleging that XRP was an unregistered security," Garlinghouse explained. Now, 75% of Ripple's open positions are in the U.S., and the company has closed more domestic deals in the last six weeks of 2024 than in the previous six months.

Garlinghouse referred to this trend as the "Trump effect", citing renewed optimism among crypto companies about Trump's campaign promises to support digital assets. Ripple's CEO praised Trump for appointing crypto-friendly individuals to key roles in his administration, contrasting this with the regulatory hostility experienced under President Joe Biden.

Ripple has faced significant challenges in the U.S., particularly from the Securities and Exchange Commission (SEC), which accused the company of selling XRP as an unregistered security. Under the Biden administration, crypto companies often criticized the SEC's coercive regulatory approach, characterized by enforcement actions rather than clear guidelines.

With Trump's presidency on the horizon, Garlinghouse expects a stark departure from Biden-era policies. "Trump's administration could bring clarity and support for digital assets, fostering innovation rather than stifling it," he said.

Ripple's renewed focus on the U.S. market comes as it achieves key milestones, including the approval of its RLUSD stablecoin by the New York Department of Financial Services (NYDFS). This move underscores Ripple's ambition to solidify its position as a leader in cross-border payments and digital financial services within the U.S.

Garlinghouse also reiterated his confidence in XRP, calling it more suitable for everyday payments than Bitcoin due to its speed, efficiency, and scalability.

Ripple's pivot back to the U.S. aligns with broader industry sentiment. Many crypto firms anticipate a more collaborative and innovation-friendly regulatory environment under the Trump administration. Garlinghouse's optimism reflects a larger hope that the U.S. will emerge as a global leader in crypto innovation, reversing years of regulatory uncertainty.

As Ripple repositions itself in the U.S. market, its success will depend on the regulatory clarity and support promised by the Trump administration. If fulfilled, these promises could pave the way for Ripple—and the broader crypto industry—to thrive domestically while setting global standards for digital asset adoption and innovation.