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Ripple: UK Regulators Should Follow Japan’s Lead in the Crypto Sector

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Ripple’s Director of Regulatory Relations, Ryan Zagone, has requested that the UK end the “Wild West” days of virtual currencies and tokens. The lawlessness and lack of regulations in this era is being mirrored in the UK, as reported by The Telegraph. Once new rules and restrictions are implemented, both crypto companies and customers will freely enter the market.

Zagone said that currently, officials need to balance two important things: reducing risks and allowing technological progression. In order to create regulations, he also explained that consumer protection, anti-money laundering and financial stability must be targeted. “We’re at that time now where we need more clarity and rules and we need more certainty. It’s a good time to start revisiting that ‘wait and see’ approach taken by regulators,” said Zagone.

This year, Japan introduced Know Your Customer (KYC) policies for cryptocurrency exchanges. They also started tracking transactions, in case suspicious activities were being conducted on any exchange. Zagone, impressed by this move, called Japan a “leader” with a regulatory structure that can be copied by countries like UK. He explained, “Regulation creates the guardrails on the highway that allows new entrants to come in, particularly institutional investors.”

Earlier this month, insiders claimed that Ripple had tried to pay money to cryptocurrency exchanges Coinbase and Gemini to list XRP. One of the reasons, sources claimed, included the “security” status of XRP. However, Corey Johnson, Ripple’s chief market strategist, told CNBC, “We absolutely are not a security. We don’t meet the standards for what a security is based on the history of court law.”

Johnson also denied the rumors that Coinbase considered it a security and said that the exchange was in talks with the company, “Coinbase never ever raised the issue of whether or not XRP is a security in our discussion about listing XRP. We’re 100 percent clear, it’s not a security. We don’t meet the standards.”

Image Credit: Deposit Photos

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