- The European Union Starts Planning New Legal Framework for Cryptocurrencies Until 2024
- A Clear Regulatory Framework is what Ripple and the Rest of the Cryptocurrency Industry Needs to Achieve Mass Adoption
Ripple News Today – The European Commission has just announced that it is making plans to create a new legal framework until 2024. This legal framework is meant to regulate and promote the innovation of cryptocurrencies and digital assets as a whole. The two documents show that the European Commission is interested in promoting cross-border payments. They are interested in making it cheaper, and faster than traditional methods. The documents suggest that blockchain technology and cryptocurrencies will play a crucial role in this innovation.
Ripple News Today – What Does the EU’s New Legal Framework Mean for Ripple?
Ripple has the technology required to revolutionize the global cross-border industry. This is a fact that can’t be disputed. However, the technology is lacking in terms of adoption and the primary reason behind this lag is regulatory uncertainty. Ripple technology relies primarily on collaboration with other financial installations. Unfortunately, many of the top financial institutions in the world are worried about working with Ripple because they are worried about the legal implications this would have on their companies.
XRP (XRP) Price Today – XRP / USD
The publication, which was initially presented by Reuters, shows that there is a shift in the EU’s vision as far as the cryptocurrency industry is concerned. The European Commission intends to remain at the forefront of financial innovation and they are fully aware that blockchain technology is going to take the lead in this revolution. This legal framework will provide Ripple and other cryptocurrencies with the clarity they need to achieve mass adoption. This will include things like how the already existing laws will affect the cryptocurrency industry and how they will interact with new laws.
The EU is also going to propose laws when necessary. While the EU has always had an interest in the cryptocurrency industry, it took a stronger possible stance now because of the economic crisis caused by the coronavirus pandemic. Statistics have shown that more than 78% of the total payments made these days are done in cash. So, a payment system that will help people make an instant payment without stress is highly beneficial. Part of the post was as follows;
“By 2024, the EU should put in place a comprehensive framework enabling the uptake of distributed ledger technology (DLT) and crypto-assets in the financial sector. It should also address the risks associated with these technologies.”
If the EU is interested in decentralized technology, there is no company, Ripple’s On-Demand Liquidity solution might be just what they need. Ripple offers low-cost instant cross-border solutions. The EU’s framework will make Ripple more legitimacy. It isn’t just going to benefit Ripple, it will also benefit Bitcoin, Ethereum, and the rest of the industry.