Ripple CEO Brad Garlinghouse says the long-term future of cryptocurrency will not depend on whether Congress passes the CLARITY Act, even though he continues to support federal crypto market-structure legislation.
Speaking at a digital-asset event in Kansas City on Sept. 15, Garlinghouse said strong technology can continue to drive crypto adoption even when lawmakers face setbacks. He argued that when technology is faster and more effective, it can continue to grow regardless of the outcome of a single piece of legislation.
His comments came just hours before the Senate voted on the CLARITY Act. Garlinghouse has previously urged Congress to pass the bill, saying clear federal rules would help the United States remain competitive in the digital-asset industry.
The Senate later rejected the procedural vote on H.R. 3633 by 49 votes to 50. The measure needed 60 votes to move forward. The vote was not a final vote on the bill itself, but it stopped the legislation from advancing at that time.
The failed vote does not change Ripple’s position on XRP. The company said XRP’s current regulatory status remains unchanged.
Ripple also pointed to recent guidance from the Securities and Exchange Commission and Commodity Futures Trading Commission that identifies XRP, along with Bitcoin, Ether and Solana, as a digital commodity. However, that guidance is not the same as a law passed by Congress.
Garlinghouse has argued that the United States should not fall behind other major economies that have already created regulatory frameworks for digital assets. He has also said that existing financial infrastructure has not kept pace with newer technology.
Ripple supported the CLARITY Act because the legislation would create a federal framework for digital assets and define responsibilities between the SEC and CFTC. The company said after the Senate vote that the failure to advance the bill was a missed opportunity for U.S. consumers and crypto businesses.
Still, Ripple said it will continue working with regulators and supporting efforts to create federal market-structure legislation.
The Senate vote also came as disagreements remained over several parts of the bill, including ethics rules for government officials, stablecoin rewards, banking concerns and financial-crime protections.
Following the vote, Senate Banking Committee Chairman Tim Scott said the SEC and CFTC should continue developing clear rules under their existing authority while Congress works on legislation. Other industry leaders have also called for regulators to continue their work.
The market reacted negatively as it became clear that the bill would not receive enough votes. Bitcoin fell more than 5%, while Coinbase and Circle shares also dropped sharply during the session. Crypto markets were also affected by broader economic factors, so the decline cannot be attributed only to the Senate vote.
The failed procedural vote leaves the CLARITY Act stalled for now, but it does not end the broader debate over U.S. crypto regulation.
For Garlinghouse, the main point is that crypto development can continue even without immediate passage of the bill. Ripple plans to keep working with the SEC and CFTC while continuing to push for clearer federal rules in Congress.
