XRP: Four Regulatory Updates Surrounding Ripple All Community Members Should Acknowledge
Four regulatory events that could directly or indirectly have an impact on XRP, the 3rd largest digital asset by Ripple has been either gone under process or been granted approval.
Token Taxonomy Act Gets Re-introduced By US Congressmen
A fresh attempt has been made by lawmakers to give cryptocurrencies a clearer legal status in the US as US Representative Warren Davidson reintroduced the Token Taxonomy Act stating that if approved by Congress and signed into law it will “send a powerful message” to the innovators that
“the U.S. is the best destination for blockchain technology.”
The act would amend the Securities Act of 1933 and the Securities Exchange Act of 1940, providing regulators like the US SEC clarity on how to enforce securities laws on cryptocurrencies.
It still remains unclear how cryptos that are not being used for fundraising might be classified despite SEC’s recently released guidance. The current version of the bill will add more features including a clearer definition of digital tokens.
Bitstamp Granted New York BitLicense, Now Authorized To Use XRPL DEX
One of the biggest cryptocurrency exchanges, Bitstamp has been granted BitLicense by the New York State Department of Financial Services. This license allows the exchange to provide crypto trading services in the US and further expand them in the States.
As for Ripple, it has been stated,
“Bitstamp USA is also authorized to facilitate transfers of funds onto the Ripple Network, issuing Ripple Balances in USD, other virtual currencies, and select fiat currencies, including the Australian Dollar, British Pound, Euro, Swiss Franc, and Japanese Yen.”
Chris Larsen Meets Luxembourg's Minister Of Finance
According to the latest Tweet by Pierre Gramegna, Minister of Finance at Luxembourg, Luxembourg and Europe might be preparing for Ripple exposure. Though there is no official announcement yet, something is definitely brewing as Gramengan posted his photo with Ripple co-founder Chris Larsen with a caption “looking forward to the further development of Ripple,” that speaks in itself.
Excellent exchange of views with @chrislarsensf. Looking forward to the further development of @Ripple in #Luxembourg and #Europe. pic.twitter.com/M6xJAc7Fxn
— Pierre Gramegna (@pierregramegna) April 9, 2019
In another instance, LPEA (Luxembourg Private Equity and Venture Capital Association) recently published a paper titled, “Security Tokens – Legal Aspects,” that reads in favor of XRP being a token and not a security.
“Payment tokens are virtual or cryptocurrencies (this is, for instance, the case of Bitcoin or Ripple ), i.e. tokens intended to be used, now or in the future, as means of payment for acquiring goods or services or as means of money or value transfer.”
Ripple Partner MoneyMatch Granted Remittance License
Malaysian fintech startup MoneyMatch has been granted a remittance license from Bank Negara Malaysia (BNM) to carry out remittance service for both individuals and businesses. According to the startup, they are the first to receive a green signal from the Financial Technology Enabler Group of BNM.
Back in April, the company announced its partnership with Ripple to power its payments and in October last year, MoneyMatch conducted it first cross-border transaction based on Ripple blockchain for Malaysia to Spain corridor. They have been working on getting fully integrated into Ripple’s xVia platform and further planned to use its technology in other regions such as Thailand, India, and the USA.
According to the Reuters’ report, MoneyMatch is expecting an expansion to Australia as well as they have already been granted a license to provide remittance services by the Australian Securities and Investments Commission.