Ripple, a San Francisco-based blockchain company, is currently facing a lawsuit filed by the US Securities and Exchange Commission (SEC) in December 2020 regarding the illegal selling of securities in the form of XRP. Ripple CEO Brad Garlinghouse said that despite the lawsuit, the company has not experienced any fallout in its Asia Pacific business.
During an interview with Reuters, Garlinghouse said that Ripple’s business is growing in Asia and specifically in Japan due to regulatory clarity in the Asian markets. He added that the activity of XRP liquidity has grown significantly outside the United States during the last few months.
“It (the lawsuit) has hindered activity in the United States, but it has not really impacted what’s going on for us in the Asia Pacific. We have been able to continue to grow the business in Asia and Japan because we’ve had regulatory clarity in those markets. XRP is traded on over 200 exchanges around the world. It’s really only three or four exchanges in the United States that have halted trading,” Garlinghouse said in a video interview with Reuters.
Ripple announced earlier this week that the company is currently testing a private version of the XRP Ledger to support central banks in the issuance of central bank digital currencies (CBDCs).
XRP and Japan
After the SEC’s lawsuit, several exchanges around the world halted XRP trading but Japan was one of the few countries that supported Ripple and XRP. The regulatory authorities in the country clearly stated that XRP is not a security. During the latest interview, Ripple CEO pointed out the growth of the company in Japan.
“We’re seeing the activity of XRP liquidity has grown outside the United States and continues to grow in Asia, certainly in Japan,” he added.
XRP is currently the 7th largest cryptocurrency in the world. The digital asset has a market cap of more than $20 billion.