Brad Garlinghouse explains delay in Ripple’s relocation from the United States

San Francisco-based Ripple has taken a wait-and-see stance on relocating its jurisdiction after Joe Biden was elected U.S. president. The fintech company’s CEO Brad Garlinghouse said this in an interview with CNN’s Julia Chatterley.

He attributed the delay in moving the company out of the United States to the lack of clear timelines and a desire to understand how the regulatory landscape for the crypto industry would evolve with the Biden administration in office.

Garlinghouse said Ripple has yet to receive a clear response from the U.S. Securities and Exchange Commission regarding its XRP token. The uncertainty is driving Americans away, with up to 95% of its users located abroad.

“When I talk to customers about our product that uses XRP in payment flows, they ask me about the regulatory trajectory. Some say, ‘Listen, until there is clarity and a regulatory framework, we will abstain,'” Garlinghouse said.

Earlier, Ripple co-founder Chris Larsen stated plans to move the company’s office to Europe or Asia due to excessive regulation of the cryptocurrency industry in the United States.

Earlier, Ripple has been in litigation with former investors for the second year. They are seeking to have XRP declared a security and accuse the company of violating federal law.

In May 2020, Bitcoin Manipulation Abatement LLC filed a new lawsuit accusing Garlinghouse and his organization of selling unregistered securities worth more than a billion dollars.

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