Despite their increasing popularity, legal and environmental issues have made it difficult for countries like the U.K. to adopt cryptocurrencies. To that aim, Ripple provided the British parliament with a written evidence paper outlining the advantages of XRP and other cryptocurrencies to the nation.
Edward Farina, Head of Social Adoption at XRP Healthcare, recently tweeted about the paper to draw attention to its importance in the overall project.
Although the letter is dated September 2022, it emphasizes the efforts made to communicate with the U.K. government on the adoption of XRP and other cryptocurrencies and their potential advantages for the nation’s economic and financial standing.
In the document, Ripple acknowledged the attempts made by the U.K. government to control the emerging cryptocurrency market. These initiatives include the Financial Services and Markets Bill and the Crypto-Asset Engagement Group, both of which were suggested by the HM Treasury. On June 29, 2023, the legislation that The Parliament had first introduced in July 2022 was given Royal Assent.
Ripple also provided information on the fundamentals of blockchain technology and digital currency. The native token of the XRP Ledger (XRPL), according to the business, is XRP. It emphasized how apart from the corporation Ripple Labs the asset was.
Potential Benefits of XRP and Other Cryptos to the U.K
Ripple highlighted XRP’s and other cryptocurrencies’ potential advantages for the U.K. These advantages cover both social and economic facets. Economically, XRP and cryptocurrency have the potential to increase the speed, security, and affordability of financial transactions. This enhances the current financial structure provided by conventional methods.
Additionally, the growth of the cryptocurrency industry ushers in a brand-new sector that complements the U.K.’s advantages in technology and finance. This offers chances for businesses with innovative business models to prosper and boost the economy of the United Kingdom as a whole.
Ripple is already working to increase its presence in the United Kingdom. The company’s general counsel, Stuart Alderoty, revealed the company’s intentions to expand operations in London in April.
Cryptocurrency has the potential to increase financial inclusion nationwide on the social front. The 1.2 million unbanked people who lack access to necessary financial services can benefit from them.
Need for Regulation Framework for the Crypto Industry in the U.K.
The need for an extensive regulatory framework for the cryptocurrency market in the UK was stressed by Ripple. While praising the nation’s fintech achievements, talent, and infrastructure, Ripple emphasized the need for regulatory clarity to get over the largest challenge facing U.K. crypto businesses: ambiguity.
Without a comprehensive legislative framework, market participants may be hesitant to innovate, which will limit investment and impede business progress.
Ripple emphasized XRP’s environmentally friendly features while highlighting its negligible environmental impact. They stressed the importance of addressing this issue and noted the energy consumption associated with blockchain technology.
The Rocky Mountain Institute and Energy Web are two important partners with which Ripple has partnered to further the decarbonization of blockchains, starting with the XRP Ledger.
By 2030 or maybe earlier, Ripple is firmly committed to becoming carbon neutral. Ripple also actively backs the Crypto Climate Accord. This program intends to reduce cryptocurrencies’ negative environmental effects and promote a resilient global financial system.