- US Treasury Steven Mnuchin support companies working on in lowering costs in cross-border payment systems
- “Critical to apply this pragmatism to US regulation,” – Ripple CEO Brad Garlinghouse
During the 50th edition of the annual January get-together in the Swiss Alpine town of Davos, US Secretary of Treasury Steven Mnuchin has offered indirect support to technology company Ripple.
Ripple CEO Brad Garlinghouse took to Twitter to share a quote from Mnuchin at the World Economic Forum (WEF) this week where the US Treasury Secretary said cross-border payment systems have substantial benefits in terms of costs.
On average, the charge for sending $200 is about $14. The cross border remittance involves the combination of fees that combined with the exchange rate margin eats up 7% of the amount sent, as per a 2018 report.
Ripple that uses blockchain technology to move funds across borders makes it possible in just a fraction of the cost. Ripple costs $0.0004 to process a transaction by using digital asset XRP.
.@stevenmnuchin1 at #WEF20 when asked about cryptocurrencies: "There are benefits to cross-border payment systems in lowering costs for consumers and businesses. We absolutely support companies working on this." Critical to apply this pragmatism to US regulation. pic.twitter.com/93e84qQW1s
— Brad Garlinghouse (@bgarlinghouse) January 21, 2020
Held from Jan. 20-24, Blockchain would be on the World Economic Forum’s agenda but it won’t take the center stage. This time climate will be dominating the event with Greta Thunberg and US President Donald Trump among the top speakers.
Although not crypto, but 135 countries will be debating proposals to dress the tax challenges posed by the global economy which is increasingly becoming digitized.
On the last day of the event, Steven Mnuchin along with, Christine Lagarde, President of European Central Bank, Kristalina Georgieva, Managing Director at the International Monetary Fund, Haruhiko Kuroda, Governor of the Bank of Japan, Olaf Scholz, Federal Minister of Finance of Germany, and Zhu Min, Chairman of the National Institute of Financial Research will discuss the global economic outlook.
The agenda is to reassess geopolitical risks and the fiscal and monetary measures necessary to mitigate an economic downturn in 2020.