Ripple, a cryptocurrency and remittance services company, expects to start offering its services to U.S.-based businesses after the recent ruling that determines the XRP token is not “necessarily a security” on its face. Stuart Alderoty, Ripple’s CLO, stated the company hopes to start talking with possible customers this quarter.
Ripple Hopeful About U.S. Business Opportunities
Ripple is expecting its business opportunities in the U.S. to pick up after the landmark ruling that determined that XRP, the token used by the company in some of its solutions, was not “necessarily a security” on its face. In an interview with CNBC, Ripple CLO Stuart Alderoty explained that the company was ready to contact potential customers wanting to integrate its solutions.
Alderoty stated:
I think we’re hopeful that this decision would give financial institution customers or potential customers comfort to at least come in and start having the conversation about what problems they are experiencing in their business, real-world problems in terms of moving value across borders without incurring obscene fees.
Ripple specializes in solutions facilitating cross-border payments and offers liquidity for crypto-to-fiat and fiat-to-crypto hubs.
The company has also designed a central bank digital currency (CBDC) and stablecoin platform. The Republic of Palau has partnered with Ripple to use this platform to issue its CBDC.
Moving Business Back
Alderoty further explained that he was hopeful about getting some customers in the U.S. after the conclusion of the firm’s battle against the U.S. Securities and Exchange Commission (SEC), which was estimated to cost Ripple about $200 million.
He detailed:
Hopefully this quarter will generate a lot of conversations in the United States with customers, and hopefully some of those conversations will actually turn into real business.
Most of the company’s revenue comes from customers outside the U.S., but about half of its 900 employees are still based in the country, per Alderoty’s statements.
As a result of this landmark ruling, XRP was relisted by some exchanges in the U.S., including Coinbase, which delisted it on January 2021 due to the lawsuit. Other U.S.-based exchanges like Kraken and Bitstamp USA have followed Coinbase’s move.
Nonetheless, Ripple still has to settle with the SEC regarding the so-called XRP “institutional sales” the company completed directly with its customers, which amount to more than $700 million. On this, Alderoty declared that it would not affect the company’s business, as most of its current customers are outside the U.S.
What do you think about the future of Ripple and its service offering in the U.S.? Tell us in the comments section below.
