Ripple CEO Brad Garlinghouse stated that there is a 90% probability the Clarity Act will be passed by the U.S. Congress by the end of April.
This assessment follows recent meetings in Washington between crypto industry leaders and banking regulators, including discussions at the White House. Garlinghouse indicated that key provisions of the bill, particularly those concerning jurisdictional clarity for digital assets and the distinction between securities and commodities, have been significantly refined. Negotiations between lawmakers, the crypto industry, and Treasury officials have narrowed down outstanding issues.
While a compromise may be necessary, Garlinghouse expressed optimism about the bill's advancement this spring. The Clarity Act aims to provide federal regulatory clarity for digital assets, defining jurisdiction between the SEC and CFTC. Industry experts suggest this clarity could spur institutional investment, overcoming current uncertainties that have slowed innovation.
Contentious elements include stablecoin regulations, with ongoing efforts by the White House and Senate panels to reconcile differences. Congressional passage would mark a substantial shift in U.S. cryptocurrency regulation.