Amid the ongoing crackdown of the U.S. SEC on the cryptocurrency industry and the absence of clear regulations in the space, many businesses are looking into the possibility of relocating their headquarters elsewhere, and among the names frequently popping up online is Ripple Labs.
The cryptocurrency company, currently involved in a long-running legal battle with the Securities and Exchange Commission, may have reportedly taken a cue from Coinbase about moving its business outside of the country.
Last year, Ripple Labs CEO Brad Garlinghouse outrightly said that the crypto company will move to another country if it failed to secure a win in the ongoing battle with the SEC.
“We think the law is on our side and the facts are on our side,” he said last July, adding that “we will move to another jurisdiction if we lose the case in the United States. We still have an immense business to build. Why do it in a regulatory jurisdiction that’s not going to be friendly towards us?”
Several signs pointed out that the crypto company is extending its presence in other countries, with its CEO and other executives repeatedly talking about countries that have clear rules and welcoming environments for Ripple’s business.
Last week, Ripple chief legal officer Stuart Alderoty tweeted about missing SEC chair Gary Gensler’s hearing at Congress because he was in London helping the business grow.
“Missed all the excitement yesterday on the Gensler hearing. I am in London, spending time with our team focused on growing our business. Can’t tell you how inept the SEC looks from this side of the pond,” the lawyer wrote.
Missed all the excitement yesterday on the Gensler hearing. I am in London, spending time with our team focused on growing our business. Can’t tell you how inept the SEC looks from this side of the pond.
— Stuart Alderoty (@s_alderoty) April 19, 2023
Ripple’s International Policy Counsel Susan Friedman praised the MiCA crypto legislation in Europe and compared it with how U.S. regulators conducted their business with crypto companies and floated the idea of “building and growing” in the European market.
Markets in Crypto-Assets (MiCA) is an EU regulation governing the issuance and provision of services related to crypto. It is a unified approach to cryptocurrency regulation that spans across 27 member states, which means that crypto businesses approved in one country can do their business in other member states.
A direct rebuke by @FinancialCmte to Chair Gensler’s (false) claim that crypto markets are suffering from a lack of compliance rather than a lack of clarity.
“The only entity to blame for the lack of registrants is the SEC itself.” https://t.co/ddsqRNQ5B8
— Susan Friedman (@ss_friedman) April 18, 2023
“While the US continues to focus on enforcement instead of clarity, the EU has taken a big leap forward with a sensible, progressive approach to #crypto regulation. We look forward to building and growing in the European marketplace,” Friedman said.
Interestingly, another major indicator suggesting that Ripple Labs could be preparing to move offshore could be supported by 66 recent job listings, where 46 of the jobs are outside the country with only six openings within the United States – all of which are just internships.
The crypto company moving outside of its current headquarters may have been triggered by Coinbase’s recent announcement of the launch of its offshore exchange after it successfully obtained a license in Bermuda.
Despite speculations online, Ripple Labs has remained silent regarding this issue.
Brad Garlinghouse
