According to Garlinghouse, crypto companies need to prioritize trust and transparency.
In his keynote address at Ripple's annual Swell conference, CEO Brad Garlinghouse provided a synopsis of crypto utility, macro forces driving the business, and other concerns associated with the sector. In a subsequent tweet, he restated his conviction that, despite the events of the previous few weeks, the cryptocurrency industry will emerge even more successful.
However, in order for this to become a reality, the market must shift its attention to becoming more trustworthy and transparent. Garlinghouse is certain that his business will maintain its position as the industry leader in this area.
After reports surfaced that customer funds from the exchange were being used to make bets on Alameda Research, the FTX empire suffered losses in the billions of dollars and went bankrupt last week. Alameda Research is a trading company that is also run by Sam Bankman-Fried, who was once considered to be cryptocurrency's white knight. The catastrophic failure of the sibling companies has resulted in losses across the board in the cryptocurrency industry. As a result of the consequences, the lending arm of Genesis Global Trading has allegedly halted customer withdrawals and the cryptocurrency lender BlockFi is apparently ready to file for bankruptcy.
The failure of FTX has undoubtedly damaged investor confidence in the industry, and it comes after a trying time for the industry after the failure of Terra, which was led by Do Kwon and was a stablecoin issuer that imploded in the spring of this year and was responsible for the failure of companies such as Voyager Digital, Celsius, and Three Arrows Capital.
During the same time, Garlinghouse provided hints in a recent interview with CNBC that the FTX exchange, which has since gone bankrupt, was a fraudulent scam.
Unfazed by the current economic crisis, Ripple is seeing the global expansion of ODL.
Ripple's commercial activities appear to be untouched by the implosion and contagion of FTX, as well as by current macroeconomic conditions and its ongoing legal struggle with the United States Securities and Exchange Commission (SEC), which has been going on for the greater part of the previous two years.
According to Garlinghouse, the amount of fiat cash and cryptocurrency that has been processed by RippleNet, the consortium of financial institutions and payment service providers who have agreed to utilize Ripple's blockchain network for cross-border transactions, has reached $30 billion. In addition, over 90% of the world's foreign currency markets may now be accessed using Ripple's on-demand liquidity (ODL) technology, which is currently operational in around 40 major markets.
The financial technology company with headquarters in San Francisco has made public their collaboration with MFS Africa to provide XRP-based international payments to the African continent.
Garlinghouse had earlier hypothesized that the lengthy and drawn-out litigation may finally be resolved during the first half of the next year. However, he now confesses that this was only a conjecture on his part.