Ripple CEO Brad Garlinghouse joined CNBC’s Squawk Box to talk about Facebook’s digital asset Libra.
Brad spoke about how Facebook’s newly introduced Libra will bring a lot of exposure to blockchain technology and the phenomena of cryptocurrencies. On the other hand, he also pointed out a few flaws. He referred to the “Silicon Valley arrogance” that was reminiscent as Facebook tries to dominate the whole market.
He further added :
“I think the conversation with regulators for Facebook started some time ago. And I think they had heard loud and clear some of these reservations. Also, I don’t think they took the time to address some of them.”
Brad also claimed that “the future of payments and money is shifting”.
Brad says that he is heartened by the positive comments from the congressional hearings about Facebook’s Libra. The committee members are supportive of payments innovation and blockchain in the US, but they are that Facebook is the right agent due to the history of broken trust. This discussion is very important for the growth of the crypto industry.
Garlinghouse stated that Congressman Patrick McHenry saying ‘Whether or not Facebook is involved, change is here. Cryptocurrencies exist. Blockchain technology is real.’
Brad also claimed he agrees with Treasury Secretary Steven Mnuchin, who has issued a warning about new digital assets like Libra and the dangers of unregulated currencies.
“In order for these technologies to be used well and to be taken advantage of, it has to be done in a regulatory. We can’t expose more risk – whether it’s terrorism financing, whether it’s money laundering. Further, he compared Libra with XRP saying, Ripple has really been focused on making sure we’re partnering with the existing system.”