After Binance And Coinbase, Ripple Now Submits Proposals To Protect Crypto Users

Ripple submits proposal to protect crypto users (Bitcoinmag)

JAKARTA – Crypto developer Ripple (XRP) has published a proposal for crypto regulation, Ripple announced on its official blog. The proposal lays out the company's vision of a financial regulatory framework that can be leveraged to advance innovation and consumer protection, as reported by Bitcoin.com News.

“Today, we are proud to release our vision for a 'Real Approach to Cryptocurrency Regulation', a framework designed to offer a hands-on and pragmatic approach to cryptocurrency and digital asset regulation in the United States,” Ripple wrote.

Ripple says that good public policy can be achieved through “public-private collaboration, adapting existing regulatory frameworks, and encouraging crypto innovation sandboxes.”

“Ripple believes that our proposal will ensure the US is successful in nurturing crypto innovation within its borders while also maintaining the strong consumer and investor protection it is known for,” wrote crypto development firm XRP.

Ripple CEO Brad Garlinghouse, stated that the proposed policy framework uses three approaches than is currently possible. Garlinghouse also explained that the proposal was the result of the company's interaction with the regulator.

“Our proposed policy framework is a three-pronged approach of what can be done now to provide clarity to one of the fastest-growing industries in the US. It is also the result of our direct interactions with regulators and bipartisan policymakers,” Garlinghouse said.

“The crypto industry is stepping up to a platform for public-private collaboration in policy – no doubt – and we will continue to strive to work together on the optimal path forward, he added.

“All of the proposed actions discussed in this framework seek to provide legal clarity to industry, markets, and consumers in a way that an ad hoc, regulatory-for-enforcement approach cannot,” Ripple explained.

Bitcoin.com News reports that the US Securities and Exchange Commission (SEC) has been criticized for taking a crypto regulatory enforcement approach. SEC Commissioner Hester Peirce criticized his own agency in August for taking this approach to regulating the crypto sector after the SEC announced an enforcement action against cryptocurrency exchange Poloniex. Many people have also asked the SEC for more clarity on crypto regulations but to no avail.

Meanwhile, Ripple is still in an ongoing lawsuit with the SEC. The securities regulator is suing the company, CEO Garlinghouse, and co-founder Christian Larsen over the sale of XRP which it considers an offering of unregistered securities.

Ripple is not the only one making proposals for crypto regulation. Nasdaq-listed crypto exchange Coinbase has also proposed a crypto framework, with four main recommendations. CEO Brian Armstrong has met with regulators to convince them that the US should only have one federal regulator overseeing the crypto space. Currently, Coinbase says it has 53 regulators only in the US.

At the same time, the Binance crypto exchange also carried out a consumer protection campaign entitled “Crypto is Evil” in advertisements published in a number of major print media. The ad contains 10 basic rights to protect crypto users including investors and traders on exchanges.