The chief executive at the San Francisco payment startup Ripple thinks that economic policies meant to buffer the impact of the pandemic-induced financial crisis will benefit the crypto industry.
In an interview during the Parallel Virtual Event Series, Brad Garlinghouse said massive monetary stimulus programs will eventually damage the value of fiat currency.
“I think that the macro view on crypto in a world where we’re seeing massive stimulus of fiat currencies, that’s very inflationary over a longer arc of time and I think that’s probably very good for crypto.”
Garlinghouse says he believes crypto assets will have to prove their utility in order to survive in the long run.
“I also think this isn’t just about crypto as a speculative asset. It’s about crypto using these technologies to solve real problems.”
Garlinghouse also cites how blockchain and cryptocurrency can become more useful tools.
“We have to make sure there’s regulatory clarity, we need to make sure we’re focused on real use cases, not science experiments, but actually solving real problems… It’s important that the various projects, regardless of what technology platform is being used, they need to be clear on who their customers [are] and what problems they are solving.”
Ripple’s native token XRP acts as a bridge currency to facilitate cross-border payments and the company owns more than half of the total supply of 100 billion tokens.
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Color4260