Ripple CEO Garlinghouse Sees 80 Percent Chance for CLARITY Act by April

Ripple CEO Brad Garlinghouse expects a high probability that the CLARITY Act will be passed soon in the United States. In an interview with Fox Business, he estimated the chances of adoption by April at 80 percent.

The basis for this optimism are recent discussions between congressional representatives, government officials, and executives from the crypto and banking industries in Washington. The momentum of negotiations has increased significantly lately, according to Garlinghouse.

The bill aims to create a clear distinction regarding which digital assets are classified as securities under the supervision of the Securities and Exchange Commission (SEC) and which are considered commodities under the Commodity Futures Trading Commission (CFTC). Recently, the initiative had stalled due to disputes over stablecoin interest and yield offerings from crypto platforms. At the World Economic Forum in Davos, tensions reportedly arose between banking CEOs and Coinbase Chief Brian Armstrong.

Garlinghouse described the draft as "not perfect, but necessary" and emphasized that the industry cannot continue to remain in uncertainty. On the prediction platform Polymarket, the probability of passage by the end of the year stands at 72 percent.