A group of financial technology (fintech) companies have teamed up to persuade lawmakers and regulatory authorities in Washingon DC to consider cryptocurrencies. Ripple XRP is being used a means to get lobby group as an assisting party in the effort.
According to a Bloomberg report, the fintech companies are planning to pay advocates in DC in Ripple for assistance. The companies are made of a group of cryptocurrency firms from San-Francisco, are dubbed the Securing America’s Internet of Value Coalition. The coalition is hoping to persuade the government to take a positive standpoint regarding blockchain and cryptocurrencies in an effort to promote the growth of innovation in the field.
The companies are to gain support from Klein/Johnson Group, a lobby group focused on technology and financial services. Together, the coalition and lobby group will be taking up the cause with the US Congress, the Securities and Exchange Commission (SEC), and the Internal Revenue Service (IRS).
The coalition is allegedly paying around $25,000 USD and a further 10,000 XRP to the lobby group. According to the Bloomberg, report, the Klein/Johnson group is planning to exchange the cryptocurrency funds into fiat tender.
Ripple’s executive chairman Chris Larsen expressed his perspective on the matter:
“We understand this is really complicated, and there is a lot of misinformation out there. The good news is there is a lot of interest in this topic in D.C.”
Larsen also stated that the support of the lobby group will add some weight to the coalition’s endeavor:
“It gives them some upside and gives them some risk. Hopefully it gives them a taste of the industry in a way that hits home.”
One of the particular concerns in the agreement between the lobby group and the coalition is the matter of Ripple’s status as a security. Having been faced with three lawsuits, XRP is under the scrutiny of the SEC regulation. Whether this will be an issue, however, remains to be seen.