Central Banks Still Moving Gold Like It's 1940, Says Ripple CEO

Ripple CEO Brad Garlinghouse pointed out that central banks are still slow in transferring value, much like they were in the 1940s. He used an example from the Dutch central bank's gold reshuffle as a case study.

Between March and August, De Nederlandsche Bank moved 86 tonnes of gold, valued at around $11 billion, from New York and Ottawa to London. However, only about 27 tonnes were physically transported, with the rest sold in New York and bought back in London.

Garlinghouse noted that this slow pace is not unique to gold and that official finance still relies heavily on physical transactions and paper trails.

In contrast, crypto has been able to scale rapidly, with Ripple's own XRP Ledger offering low fees, fast settlement, and a live track record. Garlinghouse argued that this infrastructure can be used for transferring value, making it a more efficient alternative to traditional methods.