Ripple CTO David Schwartz has outlined four things he looks forward to for crypto this year.
He made this known during a recent interview with Tony Edward of Thinking Crypto Podcast.
Ripple CTO David Schwartz shares what he is looking forward to in 2024 for #Crypto.
— Tony Edward (Thinking Crypto Podcast) (@ThinkingCrypto1) February 2, 2024
Regulatory Clarity and Resolution of SEC V. Ripple Lawsuit
According to Schwartz, getting regulatory clarity and the resolution of Ripple’s ongoing legal tussle with the Securities and Exchange Commission (SEC) tops the list of things he is looking forward to this year.
The crypto community has been demanding regulatory clarity for years. This is majorly because they believe clear regulation for the industry could curb certain risks associated with cryptos while providing better protection for investors.
With regulatory clarity, crypto-related entities get to understand the Dos and Don’ts of operating in the industry. However, the appropriate regulators have ignored all calls for regulatory clarity.
Some agencies, like the SEC, believe the rules are clear. The absence of regulatory clarity has resulted in widespread enforcement action against crypto-related entities.
The ongoing SEC v. Ripple lawsuit is one of the examples of the SEC’s enforcement actions. Despite the SEC introducing the lawsuit in December 2020, the legal tussle has lingered for over three years. In his interview with Edward, Ripple’s CTO speculated that the lawsuit could be resolved this year.
“There is some reasonable chance that the lawsuit could be resolved in 2024,” Schwartz remarked.
It bears mentioning that the lawsuit is in the remedies stage. Notably, the last brief with respect to remedies will be filed by April 29, 2024. Consequently, several legal experts, including Fred Rispoli, predicted the judge could issue the final ruling in early summer.
Aside from getting regulatory clarity for crypto and expecting the SEC lawsuit to be resolved in 2024, Schwartz also highlighted other things he is looking forward to.
Improved Scaling at the Blockchain Layer
The Ripple CTO also pointed out that he is big on scaling at the blockchain layer. Per Schwartz, developers are currently faced with the issue of innovating properly at the blockchain layer. However, he believes this issue can be resolved with technologies like sidechains and zero-knowledge proof solutions.
“[These technologies] will enable people to innovate more, sort of right at that lowest layer, and enable more scalability,” he added.
Onboarding More Users into the Crypto Ecosystem
Another major thing Schwartz envisions is getting more people into the crypto ecosystem. For this vision, Schwartz emphasized the need to create user experiences that are compelling to people, thus bolstering interest in crypto.
For instance, he stated that people should be given access to tokenized securities and collateralized lending.
On the part of XRP Ledger, the Ripple CTO hopes that AMM (Automated Market Maker) will activate a decentralized identity and not make it seem controversial.
Boosting Institutional Adoption
Furthermore, Schwartz noted that he is looking forward to a surge in institutional adoption of crypto this year. Many believe the recently approved Bitcoin spot exchange-traded funds (ETFs) will contribute immensely to bolstering institutional adoption.
However, things have not been going as expected, with trading volume plunging below $1 billion in two consecutive days.
Despite these shortcomings, Schwartz still thinks Bitcoin ETFs will be pivotal in luring more institutional investors into crypto.