Ripple CEO Garlinghouse Champions CLARITY Act to Safeguard American Crypto Interests

Brad Garlinghouse throws his weight behind landmark legislation, arguing clear rules aren't just good for business—they're a national security imperative.

The Regulatory Push

Forget waiting around. Ripple's chief executive is actively lobbying for the CLARITY Act, positioning it as the definitive solution to America's crypto regulatory fog. The move signals a strategic pivot from courtroom battles to Capitol Hill corridors.

Why This Matters Now

The stakes couldn't be higher. Garlinghouse warns that regulatory ambiguity isn't just stifling innovation—it's actively ceding ground to global competitors. He frames the Act as a necessary firewall to protect U.S. economic and technological leadership. No vague promises here, just a hardline call for legislative action.

The Finance Jab

Because, let's be honest, Wall Street will find a way to package and sell it regardless—but at least this way there might be some rules attached.

The Bottom Line

This isn't just another corporate endorsement. It's a calculated play to shape the rulebook before it's written, ensuring the U.S. doesn't miss the next digital wave. The message is clear: innovate here, or watch it happen elsewhere.

Lawmakers push negotiations forward

U.S. President Donald TRUMP urged lawmakers to pass the market structure bill as soon as possible, or they could lose their place in the global digital asset industry. In a post on Truth Social, Trump accused banks of seeking to undercut the GENIUS Act, a stablecoin law introduced the previous year.

The president said financial institutions should not try to “hold the CLARITY Act hostage,” even as banks report record profits.

According to Trump, enacting the legislation WOULD help ensure the crypto industry is anchored in the United States rather than moving activity overseas.  He noted, “The Banks are hitting record profits, and we are not going to allow them to undermine our powerful Crypto Agenda that will end up going to China, and other Countries if we don’t get the Clarity Act taken care of.”

Banks and crypto companies clash over stablecoin yield rules

At the heart of the dispute is whether non-traditional banking system companies should be authorized to offer yield on deposits in stablecoins. JPMorgan CEO Jamie Dimon has said that he wants banks and stablecoin platforms to be treated fairly by regulators.

He cautioned that there should be the same oversight of any digital asset service providing interest-like rewards as there is for bank deposits.

Dimon said that stablecoin yield programs are similar to traditional interest payments. As a result, platforms offering such rewards should comply with banking requirements for capital reserves, liquidity, regulatory reporting, and anti-money laundering rules.

Banks have also raised concerns that stablecoin yields will attract deposits away from traditional financial institutions. If exchange and crypto platforms offer good returns, customers can transfer funds from their bank accounts.

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