Brad Garlinghouse, the head of the company to trade in Ripple, wondered if the new digital currencies solve real-world problems. In recent weeks, the ICO have made a sensation in the world. He said that the government were right to strengthen the regulations of the ICO.
Brad Garlinghouse explained that there are many examples of ICO which are not good for the industry. According to him, they do not solve a real problem, and it is for this reason that there are frauds currently. Hence the importance of putting in place of the regulators, he adds.
Agencies to regulate the ICO
The ICO are a way for start-ups to raise funds through the sale of crypto-currencies. However, they have caused a stir internationally these past few weeks. Some countries, such as China, have banned it.
The CEO said that his company focuses on solving a specific problem. The officer has indicated that they are in relationship with the banks and payment agencies. On the other hand, they also allow the exchange of crypto-currencies.
Why the ICO are at the heart of all the discussions ?
The governments of china and south korea have decided to ban the trade new virtual currency. The price of bitcoin has fallen sharply after the ban of China. The companies have obtained more funds thanks to the ICO. However, the experts believe that this type of funding could lead to the blanchement money and various scams.
Recently, celebrities have used social media to advertise the ICO. Last week, CNBC reported that Ghostface Killah, member of the founding group of american rap Wu-Tang Clan, had co-founded a company of crypto-currencies. Killah has joined other stars, like Floyd Mayweather, Jamie Foxx and Paris Hilton who have used the ICO to raise funds.
Source : CNBC