Ripple Expands Non US Hiring Efforts Amid Legal Challenges and Regulatory Environment

Source: Bitcoinik

Ripple CEO has confirmed that the fintech firm is shifting its focus towards hiring outside the United States due to growing conflict between the cryptocurrency sector and US regulators. The San Francisco-based blockchain company has been facing legal challenges since December 2020 when the United States Securities and Exchange Commission (SEC) initiated a lawsuit regarding the nature of XRP coin and Ripple’s business practices.

In a recent interview with CNBC International on May 18, 2023, Ripple CEO Brad Garlinghouse discussed the uncertain regulatory environment for cryptocurrencies in the US. He stated that his company is actively increasing its hiring efforts outside the US due to inadequate regulatory clarity, which fails to provide sufficient protection for both crypto investors and companies.

Garlinghouse pointed out that the ambiguous regulatory policies in the US have pushed many crypto companies and entrepreneurs to establish their operations in non-US jurisdictions, such as the European Union, Hong Kong, Japan, and El Salvador, which offer better options. Ripple also felt the significant impact of the XRP lawsuit and the current regulatory climate, leading the company to decide that shifting its business outside the US would be more advantageous.

The Ripple executive revealed that 95% of Ripple’s customers come from non-US regions, further justifying the decision to expand their non-US hiring efforts. He stated, “95 percent of our customers are non-U.S, and this year most of our hiring will be non-U.S for some of those same reasons.”

Recently, a court judge denied the SEC’s motion to seal a document containing a statement from a former SEC official. This statement referred to Ethereum as a non-security cryptocurrency token, and Ripple’s defense lawyers believe that the unsealed document could serve as crucial evidence in their case. With this court order, Ripple’s legal team is confident that the unsealed documents will help establish the non-security nature of the XRP coin.