Ripple is wrapping up its annual event, Swell. The two-day event, held on Oct. 14-15, was virtual for the first time and is overall the fourth one.
Usually, a driver for a spike in XRP prices, this time not only was there not much hype around the event, but the price of XRP is also in the red by .34% at $0.247, down 93.73% from its all-time high.
Today, during the Swell event, Ripple announced a $10 million contribution to the NGO Mercy Corps to “expand financial inclusion and increase economic empowerment.”
With this contribution, Mercy Corps, which helped about 28 million people last year, will support solutions that use digital financial technologies such as cryptos and distributed ledgers.
In this three-year initiative, the idea is to bring large numbers of people in emerging markets into the global economy.
“The existing financial system is fragmented, antiquated, and exclusionary–leaving 1.7B people unbanked and disproportionately excluding women. Emerging fintech, crypto, and blockchain technologies have the potential to radically transform it,” which will be leveraged to ensure vulnerable populations are not left behind in the fintech revolution, said Scott Onder, Senior Managing Director at Mercy Corps Ventures.
US’s Regulatory Disadvantage
Amidst this, in an interview, Ripple CEO Brad Garlinghouse talked about the lack of regulatory clarity in the US putting companies like Ripple at a disadvantage forcing them to consider “should we relocate the company to a country where it is clear?”
Thanks @MariaBartiromo for having me on this AM! US interests, companies & innovation are all at stake in this race for control of our future global financial infra. China, UK, and others are far ahead — US is out of sync and needs to implement a clear reg framework now. https://t.co/wYWT7dDvLS
— Brad Garlinghouse (@bgarlinghouse) October 14, 2020
The regulatory landscape of the US, according to Garlinghouse, is so scattered that it is “actually advantaging Chinese technologies.”
Not just the US but the world is “in a race with China,” which is “leaving others in the dust,” he said.
“I think the Chinese communist party is being very strategic, and it’s very focused on dominating this technology,” Garlinghouse said. China’s President Xi Jinping cleared his stance on the technology last year when he said, the country must “take the leading position in the emerging field of blockchain.”
However, not just China, but the US is behind many other countries, G20 markets like the UK, Singapore, Japan, Switzerland, and the UAE where there’s a clear regulatory framework, said Garlinghouse.
“Part of the success of the United States around the internet was because there was clarity for companies to invest.”