Arrington XRP Capital Fund received a subpoena

A total of 80 firms have already got SEC subpoenas
03 March 2018   857

It is reported by CNBC that Michael Arrington's $100 mln worth cryptocurrency hedge fund received a subpoena from US SEC on Friday, March 2. This fact is yet another confirmation of the ongoing scrutiny in the cryptocurrency industry. Despite the subpoena nature, this news is not disrupting at all as long with Arrington's fund, other funds receiver the same subpoenas. The regulations are clearly on the way, and TechCrunch founder stressed his willingness to comply to the coming regulations,

That's fine. They [the SEC] just have to figure out what they want. They need to set up rules so we can all follow them, and the market is begging them for that.

 

Michael Arrington

Founder, XRP Capital Fund

But for the time being the content and the spirit of the regulations are yet to be known. And the stalling is not helping at all. The lack of details on the crypto-specific regulations has led some US based projects to move out of the country elsewhere - a rather unbecoming sign.

It's a shame: the U.S. has just frozen itself.

 

Michael Arrington

Founder, XRP Capital Fund

To remind the readers, earlier in February SEC has declared all ICOs to be regarded as securities.

Crypto Won't Replace Fiat, XRP CEO Says

But head of Ripple believes that cross-border payments are the sphere in which cryptocurrencies can be an ideal solution
05 September 2018   435

Ripple's CEO Brad Garlinghouse is convinced that the fiat currency will not lose relevance in the near future and called "senseless" the possible replacement of traditional currencies with digital assets. The future of crypto currency lies in cross-border transactions, Garlinghouse said in the Stanford Legal podcast. This is reported by CoinSpeaker.

I don’t think we’re going to be buying coffee at Starbucks with Bitcoin or XRP anytime soon. I think we’ve got to ask ourselves: What problem is that solving? You were talking about paying for the day spa bill and how you do that, but I think in some ways the friction – fiat currency, the US dollar in this case works pretty well, and so we need to make sure it’s better than that before we talk about it as a currency…
 

Brad Garlinghouse

CEO, Ripple

According to Garlinghouse, cryptocurrencies can be used in the st way in international payments and as a means of preserving value. This is especially true of crisis and weak economies, with a high level of inflation. He noted that the average annual inflation of the currencies of countries outside the G20 is about 6%.

There are economies where the fiat currency is at best a weak currency. And in those contexts, if I were a consumer experiencing hyperinflation – would you rather hold a cryptocurrency or your fiat currency? And in a lot of those cases, you’re seeing people take their dollars, or not dollars, pesos of various sorts, and saying, ‘I’d rather hold this because it’s a better asset to hold in terms of its potential appreciation and lack of inflation.
 

Brad Garlinghouse

CEO, Ripple

The head of Ripple stressed that cross-border payments are the sphere in which cryptocurrencies can be an ideal solution. He also noted the Ripple, which allows to conduct international transactions "almost in real time". This will help many companies save time and resources.

We had one of the largest banks in Australia, the CEO told me that 40% of all of their consumer wire transfers result in a customer service phone call. The frustrating thing for the bank is not only do they have to absorb the cost of taking a customer service phone call, they also deliver the news that they don’t know wait a couple more days it’ll probably be there.
 

Brad Garlinghouse

CEO, Ripple

Earlier, the Northern District Court of California rejected a class action lawsuit filed by investor Ryan Coffey against Ripple Labs Inc. on behalf of everyone who bought XRP tokens after January 1, 2013. The company was accused of illegally manipulating the price of XRP.