Ripple’s chief legal officer, Stuart Alderoty, is urging the president to take bold steps toward creating a more supportive regulatory environment for the cryptocurrency industry. According to Alderoty, the United States has the potential to become the global leader in cryptocurrency—if the right policies are implemented. This includes embracing blockchain innovation and providing clear guidelines for digital assets.

The crypto community has long faced uncertainty around regulatory policies, with Ripple itself embroiled in a protracted legal battle with the U.S. Securities and Exchange Commission (SEC) over the classification of its token, XRP. Alderoty’s message is clear: if the U.S. embraces pro-crypto regulations, it could lead the world in digital asset innovation, fostering an ecosystem that attracts talent, investment, and new technologies.

The Need for Pro-Crypto Reform

Alderoty’s call for reform highlights the restrictive nature of current U.S. crypto regulations, which many argue are hindering the industry’s potential for growth. In particular, the SEC has been criticized for its tough stance on cryptocurrencies, which has created significant regulatory hurdles for firms like Ripple.

The SEC’s ongoing lawsuit against Ripple, accusing the company of selling unregistered securities through XRP, has cast a long shadow over the entire sector. Ripple’s leadership believes that the current regulatory climate in the U.S. is overly burdensome and makes it difficult for crypto businesses to operate with clarity and confidence.

In his remarks, Alderoty urged Trump to take action to foster an environment that encourages innovation rather than stifles it. According to Alderoty, by adopting clearer regulations and eliminating overly restrictive policies, the U.S. could solidify its position as the world’s crypto hub, attracting companies, investors, and blockchain developers.

Brad Garlinghouse’s Action Plan for the Trump Administration

Ripple’s CEO, Brad Garlinghouse, has also weighed in on the issue, offering a detailed action plan for President Trump’s first 100 days in office. Central to Garlinghouse’s plan is the removal of SEC Chairman Gary Gensler, whose anti-crypto stance has been a point of contention in the industry. Gensler has overseen numerous enforcement actions against cryptocurrency firms, and his policies have been seen as overly aggressive, leading to increased calls for his removal from office.

Garlinghouse has suggested that Gensler’s replacement should be someone who understands the need for a balanced regulatory approach—one that supports innovation while protecting investors. Potential candidates mentioned by Garlinghouse include Christopher Giancarlo, former Chairman of the Commodity Futures Trading Commission (CFTC), and Dan Gallagher, a former SEC Commissioner and current advisor to Robinhood. Both of these individuals are seen as more open to the cryptocurrency space and could help usher in a more favorable regulatory environment for digital assets.

In addition to reshuffling the SEC’s leadership, Garlinghouse called on Trump’s administration to prioritize the passage of the Digital Asset Market Structure Bill in the Senate. This bill would provide much-needed clarity on which digital assets are considered securities and which are not. The goal is to create a clear framework that allows the crypto industry to flourish while ensuring that consumers are protected from fraud and manipulation.

Ripple’s Political Influence: Aligning with Trump

Ripple’s involvement in political contributions further demonstrates its push for regulatory change. Stuart Alderoty, who has been outspoken in his support for Trump’s presidency, donated $300,000 to the Trump campaign, signaling his alignment with the president’s agenda. On the other hand, Ripple co-founder Chris Larsen has taken a different political path, donating up to $11 million to Kamala Harris’s campaign during the 2020 election. While Ripple has made it clear that these donations were personal and not company-wide endorsements, they do reflect the differing political inclinations within Ripple’s leadership.

These contributions show that Ripple is actively engaging with policymakers and seeking to influence the regulatory landscape. The company is keen on seeing a shift in the way digital assets are regulated in the U.S., believing that a more supportive environment could unlock significant growth potential for the crypto industry.

A New Era of Crypto Regulation Under Trump?

The calls from Ripple’s leadership come at a time when the crypto industry is growing more concerned with the regulatory landscape in the U.S. While the Trump administration has shown some openness to digital assets, many believe that stronger, more proactive measures are needed to position the U.S. as a leader in the global crypto market. The question remains: will Trump’s presidency usher in the kind of regulatory reforms that the industry is hoping for?

One of the most pressing issues is the current leadership of the SEC. Under Gensler’s leadership, the SEC has pursued aggressive actions against cryptocurrency firms, including the high-profile case against Ripple. This has created a climate of uncertainty, making it difficult for companies to navigate the regulatory environment with confidence. The uncertainty surrounding the SEC’s approach to digital assets has prompted many in the industry to call for leadership change.

Mike Novogratz, CEO of Galaxy Digital, has also weighed in on the issue, suggesting that the crypto industry would benefit from having SEC leadership that is more favorable toward digital assets. Novogratz has even proposed that Hester Peirce, a more crypto-friendly SEC Commissioner, could be a strong candidate to take over the chairmanship.

If a change in SEC leadership were to occur, it could have significant implications for Ripple’s ongoing legal battle. The lawsuit over XRP’s status as a security has been one of the most closely watched cases in the crypto world, and a shift in regulatory philosophy could lead to a quicker resolution. This, in turn, could renewed interest in XRP and the broader cryptocurrency market.

Will the Crypto Industry Thrive Under New U.S. Leadership?

With President Trump now in office, the cryptocurrency industry is watching closely to see how his administration will handle the rapidly evolving digital asset space. There is hope that a new regulatory approach could provide the clarity and support the industry needs to thrive.

If Trump’s administration adopts the pro-crypto policies advocated by Ripple’s leadership, it could mark a turning point for the U.S. in its efforts to lead the global crypto revolution. A regulatory framework that encourages innovation, supports the growth of blockchain technology, and ensures consumer protection could open the door for more cryptocurrency firms to operate in the U.S.

However, the road to regulatory reform may not be easy. The SEC’s current stance on digital assets has created significant roadblocks, and the crypto industry faces ongoing challenges. As the industry continues to mature, it will be up to policymakers and regulators to adapt to the evolving digital landscape. Whether or not the U.S. becomes the global leader in cryptocurrency will depend on the actions taken by both the government and the industry in the years to come.