Ripple CEO, Brad Garlinghouse, in a recent interview on the Recode Decode podcast with Kara Swisher, May 20th 2019, argued that the biggest banks have a very strong reason to fully embrace crypto and Blockchain technology innovation.
Throughout the interview Garlinghouse made it clear that the aim of Ripple’s approach is to build a strong relationship and work closely with financial institutions and regulators, in order to work with and not against the system.
Garlinghouse stated that,
“I don’t think banks and governments will go away. Banks are playing a very important regulatory framework that i actually think is important for society. I personally believe that banks will continue to serve that role, they’re good at it. I think this is a new set of technologies that they can benefit from to grow their business.”
The big banks can benefit from Blockchain technologies and Cryptocurrencies, they just need to let their guard down and embrace it, in order to greatly benefit from it.
Big Banks worldwide are currently at risk if they resist the cryptosphere and they face a prospective threat from new technologies due to the way that they are controlled and run today.
With KYC-compliant crypto-enabled transactions providing a means of drastically reducing remittance costs and significantly lowering friction the big banks will soon be pressured to tap into the technologies in order to prevent corporate goliaths such as Amazon from pre-empting them.
Garlinghouse went on to state that,
“99 percent of banks love what we’re doing, because we’re democratising something that’s controlled by a small number of banks, their competitors.”