Ripple CEO Explains Why Russia Won’t Use Crypto To Bypass Sanctions
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March 3, 2022 5:11 am
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CEO of Ripple Brad Garlinghouse has given his two cents on the recent rumors that Russia will evade sanctions by using cryptocurrency.
In a pair of tweets, Garlinghosue declared, that trading platforms and exchanges will not deal with sanctioned banks in Russia because they would lose their licenses.
Garlinghouse would go on to say “RippleNet, for example, has always been – and remains today – committed to NOT working with sanctioned banks or countries that are restricted counterparties. Ripple and our customers support and enforce OFAC laws and KYC/AML”.
The CEO of Ripple would go on to say that when the media declares that Russia will use Cryptocurrency to avoid sanctions it plays into the narrative that cryptocurrency is just a currency used on the dark web amongst criminals.
Check out Garlinghouses’ tweets below:
I continue to see asinine arguments from uninformed pundits of how crypto works. I want to reiterate what @ashgoblue said yesterday – there are factual reasons why crypto can’t be used on the broad scale for Russia to evade sanctions. https://t.co/WmQC4sHcSa https://t.co/Pk2fy9iUV8
— Brad Garlinghouse (@bgarlinghouse) March 2, 2022
Instead of listening to responsible players who have been clear they will abide by legal sanctions, some pundits and media insist on continuing to paint crypto as the Silk Road – both an exceptionally outdated and tired argument which simply doesn’t hold true today. /Rant over
— Brad Garlinghouse (@bgarlinghouse) March 2, 2022
Crypto Potato had more on the story:
Ripple’s CEO and co-founder, Brad Garlinghouse, recently took to his Twitter page to explain why Russia cannot use crypto to evade global sanctions.
Backing earlier comments made by the company’s general manager, Asheesh Birla, on Monday, Garlinghouse noted that crypto trading platforms work together with several banking partners that risk losing their licenses if a blacklisted individual bypasses every security measure put in place.
According to Garlinghouse, it was to prevent such incidents that cryptocurrency exchanges established several stringent measures, including strict know-your-customer (KYC) and anti-money laundering policies.
He further added: “RippleNet, for example, has always been – and remains today – committed to NOT working with sanctioned banks or countries that are restricted counterparties. Ripple and our customers support and enforce OFAC laws and KYC/AML.”
Garlinghouse pointed out that the argument that crypto is favored by criminals to launder funds is both “outdated and tired.”
.@ashgoblue lays out the reality of crypto & blockchain’s role (or lack thereof) to evade global sanctions.
To clear any confusion – RippleNet (while being able to do much more than just messaging a la SWIFT) abides by international law & OFAC sanctions. Period, full stop. https://t.co/WmQC4sHcSa
— Brad Garlinghouse (@bgarlinghouse) February 28, 2022
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