Ripple CEO Brad Garlinghouse described the GENIUS Act as a turning point for financial institutions moving into crypto, even as broader market-structure legislation remains stuck in Congress. He spoke at Ripple Swell in New York on Wednesday.
Stablecoin law seen as watershed
Garlinghouse characterized the 2025 stablecoin law as a watershed moment for the industry, pointing to its role in bringing many financial institutions into the sector.
CLARITY Act remains stalled
He acknowledged that the CLARITY Act, which would set out clear rules for crypto market structure, has not passed. The bill stalled this month after Senate Democrats voted against a motion to proceed.
Regulators step in through rulemaking
Despite the legislative setback, Garlinghouse said the Securities and Exchange Commission and the Commodity Futures Trading Commission are now leaning on their own rulemaking powers to cover areas the bill was meant to address. He called that shift something the industry should be very excited about.
- The GENIUS Act, enacted in 2025, sets rules for stablecoins and was framed by Garlinghouse as a catalyst for institutional entry.
- The CLARITY Act, aimed at defining crypto market structure, has not passed after a failed motion to proceed in the Senate this month.
- Agency-level rulemaking by the SEC and CFTC is advancing on topics the legislation was intended to cover, according to the Ripple CEO.
