Ripple, the San Francisco-based enterprise blockchain firm, is celebrating a key Senate committee vote on the CLARITY Act. The bill, which aims to create a federal legal framework for digital assets, passed the Senate Banking Committee on Thursday with a 15-9 bipartisan vote.
Ripple Chief Legal Officer Stuart Alderoty called the outcome a “monumental outcome” for the industry. In a statement on X, he said, “This is the moment the crypto industry has been fighting for… a clear signal that Washington gets it.” Alderoty specifically thanked Senators Tim Scott, Angela Alsobrooks, Bernie Moreno, and Ruben Gallego for their support.
The vote was not without controversy. Ripple CEO Brad Garlinghouse framed the legislation as a necessary step to protect retail investors. “Millions of Americans are already in this market. They deserve the same rules and protections as every other asset class,” Garlinghouse said.
Industry pushback and debate
However, some in the crypto community are less enthusiastic. Charles Hoskinson, CEO of Input Output, criticized Ripple for backing a bill he sees as underwhelming. Garlinghouse responded by urging pragmatism. “Let’s not let perfect be the enemy of good,” he said. “No piece of legislation has ever been perfect by everyone’s standards. What we need is a clear framework.”
The CLARITY Act advanced largely along party lines, but needed crossover votes from two Democrats to pass out of committee. All 13 Republicans supported it, joined by Senators Gallego and Alsobrooks. Nine Democrats, including Senator Elizabeth Warren, voted against the measure.
Last-minute concessions
Securing bipartisan support required last-minute negotiations and concessions that have caused pushback from decentralized finance advocates. Despite these concerns, many in the broader crypto industry and federal regulators have welcomed the vote. Coinbase CEO Brian Armstrong described it as a “historic day for crypto.”
