- Ripple CEO Brad Garlinghouse recently commented on the approval of the Financial Innovation and Technology for the 21st Century Act (FIT21) by the US House of Representatives.
- Garlinghouse took a jab at US Securities and Exchange Commission Chair Gary Gensler, stating that his previous remarks about Gensler becoming a political liability had aged well.
- In December 2023, Garlinghouse accused Gensler of “destroying” the integrity of the SEC.
Ripple CEO Brad Garlinghouse reacts to the US House’s approval of the FIT21 Act, highlighting the ongoing regulatory battle with SEC Chair Gary Gensler.
Ripple CEO Criticizes SEC Chair Amid FIT21 Act Approval
The recent approval of the Financial Innovation and Technology for the 21st Century Act (FIT21) by the US House of Representatives has sparked significant reactions within the cryptocurrency community. Ripple CEO Brad Garlinghouse seized the moment to criticize SEC Chair Gary Gensler, reiterating his stance that Gensler has become a political liability. Garlinghouse’s comments come after his December 2023 statement, where he accused Gensler of “destroying” the SEC’s integrity.
Bipartisan Support for FIT21 Act
The passage of the FIT21 Act marks a significant milestone for the cryptocurrency industry, aiming to establish a clear legal framework for digital currencies in the US. Notably, the bill received strong bipartisan support, with 71 Democrats joining Republicans in favor of the legislation. This overwhelming support underscores the growing recognition of the need for regulatory clarity in the rapidly evolving crypto space.
SEC Chair’s Opposition and Concerns
Despite the broad support for the FIT21 Act, SEC Chair Gary Gensler has been a vocal opponent. Gensler argues that many players in the crypto industry do not adhere to existing regulations, emphasizing the need to protect investors over facilitating non-compliant business models. He warned that the bill could undermine the SEC’s ability to safeguard investors, as it proposes shifting regulatory authority to the Commodity Futures Trading Commission (CFTC).
Future Outlook and Senate Approval
With the FIT21 Act now passed by the House, attention turns to the Senate for final approval. The bill’s future remains uncertain, but its strong bipartisan backing in the House suggests a favorable outcome. Ripple’s top lawyer, Stuart Alderoty, has highlighted the importance of bipartisan cooperation in advancing cryptocurrency legislation, emphasizing that regulatory clarity is essential for the industry’s growth and innovation.
Conclusion
The approval of the FIT21 Act by the US House of Representatives represents a significant victory for the cryptocurrency industry, potentially reshaping the regulatory landscape. Ripple CEO Brad Garlinghouse’s criticism of SEC Chair Gary Gensler underscores the ongoing tensions between regulators and industry leaders. As the bill moves to the Senate, the future of cryptocurrency regulation in the US hangs in the balance, with the potential for significant implications for investors and businesses alike.
