Chris Larsen Says London, Singapore Replacing SF as Crypto Capital while Ripple Legal Bill Reaches US$200 Million
Although Ripple has had some success defending itself against the United States Securities and Exchange Commission (SEC) in the legal battle over XRP, it has come at a cost. And while Ripple has spent millions on legal fees, the cost is not only measured in dollar terms.
Speaking to Bloomberg, Ripple Co-Founder and Chairman Chris Larsen said, “This administration made a really bad call; they pretty much killed San Francisco from being what it was, the blockchain capital of the world.”
He stated further that, for whatever reason the regulatory push happened, it has meant that London, Singapore, and Dubai have become the global capitals of crypto, driving innovation away from the United States.
Adding to this, Ripple CEO Brad Garlinghouse told CNBC in an interview, “Frankly, it’s why you’re seeing entrepreneurship and investment flowing into other jurisdictions, and certainly Europe has been a significant beneficiary of the confusion that has existed in the United States.”
Ripple Doubled its Legal Bill in 2023
Garlinghouse talked about the financial ramifications on September 20 at the New York Mainnet conference. Speaking on stage, he revealed that even though by July of 2022, Ripple had spent US$100 million ($156 million) in legal fees, this figure had now doubled.
While the cost of fighting the SEC in court is significant, those who can afford to fight may actually see results. Ripple’s Chief Legal Officer Stuart Alderoty commented on the recent setbacks the agency received with Ripple and the Grayscale win. In a post on X, he said:
Australia Going Down the Same Road as the U.S.?
If Australia manages to provide regulatory guidance, it could benefit from the growing influence exerted by the Asia-Pacific region. However, the recent legal proceedings by the Australian Securities and Investments Commission (ASIC) against crypto exchange Kraken suggest Australia is at risk of following a U.S.-style approach to regulation.
Meanwhile, Ripple continues its expansion elsewhere. Brad Garlinghouse explained that the company was hiring 80% of its staff outside of the United States. He said despite all the challenges, the door for the U.S. for crypto leadership was not permanently shut; although he added “it is definitely in a tough spot.”
Garlinghouse acknowledged the U.S. as the largest financial market and crucial to Ripple, but with a presidential election in 2024, the future of crypto-related political climate remains uncertain.
Despite the challenges Ripple continues the fight for XRP. And, the number five crypto asset by market cap has made some encouraging gains in the past seven days. XRP is trading at US$0.5094 ($0.7942) at the time of writing, up 3.52% from last week.