TLDR
- Brad Garlinghouse supports the CLARITY Act as vital for the crypto industry’s future.
- The CLARITY Act aims to eliminate confusion between SEC and CFTC regulatory roles.
- Ripple CEO sees the legislation as a pathway for safer and more efficient crypto markets.
- Garlinghouse believes clarity will fast-track crypto’s integration into global finance.
Ripple CEO Brad Garlinghouse has expressed his strong support for the Senate Agriculture Committee’s recent advancement of the CLARITY Act. He believes that this legislation will bring necessary clarity to the cryptocurrency sector and significantly improve the future for entrepreneurs in the industry.
The last couple of weeks have been an absolute firestorm of action to get the Market Structure bill passed. While @BankingGOP clears its logjam (thank you @SenatorTimScott!), congrats are in order to @SenateAgGOP and Chairman @JohnBoozman for advancing the Senate Agriculture… https://t.co/aPaDzwplG6
— Brad Garlinghouse (@bgarlinghouse) January 29, 2026
The CLARITY Act aims to provide clear regulations for digital assets, helping to guide businesses and developers. By clarifying the regulatory roles between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC), the legislation is set to address confusion that has hindered the industry.
CLARITY Act and the Role of the CFTC and SEC
The CLARITY Act empowers the CFTC to regulate digital commodities, including overseeing the spot market for these assets. Additionally, it will introduce consumer protections such as fund segregation and mandatory disclosures. The bill is designed to set clear rules for the crypto industry, distinguishing between the responsibilities of the CFTC and the SEC.
Garlinghouse has emphasized that the ongoing confusion between the two agencies has created significant uncertainty for the crypto sector. He points out that unclear rules have often led to legal battles that slow down innovation and growth. By providing clearer regulations, the CLARITY Act aims to foster a more stable and predictable environment for cryptocurrency businesses.
“The clarity this legislation provides is absolutely necessary to avoid the chaos we’ve seen in the past,” Garlinghouse said. He further noted that, while regulatory processes can sometimes be slow, clarity is more beneficial than the uncertainty and confusion that has previously characterized the market.
How the CLARITY Act Benefits Future Entrepreneurs
Garlinghouse is particularly focused on how the CLARITY Act will benefit future generations of crypto entrepreneurs. The legislation offers the structure and safety needed for these businesses to innovate and grow. Ripple’s CEO believes that clear rules will encourage investment and promote new developments in the digital asset space.
In the past, many companies in the crypto industry faced difficulties due to inconsistent regulations. This often led to lawsuits and delays, creating an environment where entrepreneurs had to focus more on legal battles than on building their products. With the CLARITY Act, Garlinghouse hopes to see a shift where businesses can focus on innovation without the constant fear of regulatory issues.
“It’s about setting a foundation that will help entrepreneurs focus on building, rather than dealing with legal challenges,” he explained.
Ripple’s Expansion Amidst Regulatory Developments
While the U.S. continues to work on its regulatory framework, Ripple has expanded its global presence. The company recently formed partnerships in the Middle East, including a deal with Saudi Arabia’s fintech firm Jeel to promote blockchain adoption. Ripple has also partnered with Turkey’s Garanti BBVA Kripto to provide secure digital asset custody using its technology.
Garlinghouse believes that this global expansion is part of the reason why clarity in U.S. regulation is essential. As Ripple seeks to integrate blockchain and cryptocurrency solutions into global financial markets, having a clear regulatory environment at home will provide the necessary foundation for long-term success.
