Ripple CEO Brad Garlinghouse has dramatically increased his prediction for the passage of the Crypto Clarity Act (CLARITY Act), now stating there is a 90% chance it will become law by the end of April 2026. This heightened optimism follows a recent White House meeting involving leaders from cryptocurrency firms and traditional banks, which has injected significant momentum into the legislative process.
A key driver of urgency is a March 1 deadline to resolve contentious rules surrounding stablecoin rewards or yields. The main point of dispute remains whether banks should be allowed to offer yields on stablecoins, with some banking institutions advocating for a ban. Despite this sticking point, negotiations have progressed to a critical drafting phase.
Ripple's Chief Legal Officer, Stuart Alderoty, confirmed that discussions have moved from broad principles to "specific language" and detailed statutory drafting. In a post on social media platform X, Alderoty stated, "We rolled up our sleeves and went through specific language today. Work will continue in the coming days." He thanked Representative Patrick McHenry for his continued commitment to advancing the bipartisan legislation.
The CLARITY Act is designed to establish clear federal market structure rules for digital assets, aiming to resolve the long-standing regulatory ambiguity that has plagued the U.S. crypto industry. A primary goal is to delineate oversight responsibilities between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). Industry advocates, including Ripple, argue this ambiguity has stifled innovation and driven business offshore.
The shift to technical wording marks a significant step forward, suggesting lawmakers and stakeholders are actively working to narrow differences and finalize a workable framework. This collaborative approach between regulators, policymakers, and industry participants represents a potential departure from the enforcement-heavy posture of recent years.
