U.S. Treasury Secretary Scott Bessent said the Treasury Department can work with the Securities and Exchange Commission and the Commodity Futures Trading Commission to fill the regulatory gap left by the Senate's failure to advance the Digital Asset Market Clarity Act, speaking at Ripple's Swell conference in New York on Oct. 27.
Bessent called the CLARITY Act's failure a disappointment and said the agencies could "fill the gap left by the Clarity Act's failure." He added, "We are going to win in the digital asset stack. This will continue to fortify the dollar."
According to some attendee accounts, Bessent also said the Treasury has "a lot of convening powers," described the SEC and CFTC as "great partners," and said regulators can set "guardrails" so crypto companies don't get debanked.
Why the CLARITY Act Gap Matters
The CLARITY Act was designed to resolve which agency regulates which tokens. The Senate rejected cloture on a motion to proceed by a 49-50 vote on Sept. 15, short of the 60 votes required. Talks broke down over stablecoin rewards, illicit-finance safeguards, and ethics rules covering President Donald Trump's crypto interests. Senator Cynthia Lummis, a chief backer, said afterward: "It's over."
Bessent's remarks signal that the Trump administration intends to keep moving without Congress through rulemaking, guidance, and closer coordination between the SEC and CFTC. That route carries risks, as California recently opposed an SEC plan on crypto over investor protection concerns, previewing pushback agency-led rules may face.
Stablecoins as a Treasury Funding Source
Bessent tied crypto to the dollar's global standing, noting that more than 90% of stablecoins are pegged to the U.S. dollar. He described them as "an important source" of funding for the Treasury because issuers park large reserves in government debt.
Stablecoin supply has grown to roughly $304 billion, up 129% since early 2024, though the market recently shed $12.7 billion as traders pulled dry powder. Unlike market structure, dollar tokens already have a federal law in the GENIUS Act, which regulators are preparing to implement.
Ripple Stacks Day Zero With Deals
Ripple used the stage to announce several deals. Executives said the company is bringing its infrastructure to Robinhood, from RLUSD settlement on the XRP Ledger to prime brokerage and treasury operations. Bitcoin.com News reported that the Robinhood deal puts RLUSD in front of the broker's 29 million customers.
Ripple also widened its BNY relationship across custody and tokenized trade finance, a push into a new trade finance market for the XRP Ledger. Ripple Treasury rolled out "24/7 Returns," letting corporates earn on idle cash outside banking hours using stablecoins. The Office of the Comptroller of the Currency granted final approval for the Ripple National Trust Bank.
XRP Waits for a Reaction
For XRP holders, the open question is whether these developments move its price. The token has been slow to respond to Ripple's run of wins. It barely moved on the OCC news, with whales controlling 68.5% of supply, and entered the week sitting 64% below its peak.
Some in the community are bracing for a repeat of past years when Swell turned into a sell-the-news event. Expectations are running high, and Ripple CTO emeritus David Schwartz reportedly told attendees there are 17 announcements planned.
