Ripple’s CEO Said The CLARITY Act Would Pass By May. A Key Senator Just Hit Pause.

The most important crypto bill in a decade is running out of time.

Ripple CEO Brad Garlinghouse has been saying for weeks that the CLARITY Act, the sweeping market structure bill that would give Bitcoin, Ethereum, XRP, and other major cryptocurrencies permanent legal classification as digital commodities, would pass by late May. Coinbase’s top policy executive went on Fox Business this week to echo that confidence.

But on Thursday, a key senator pulled back the timeline. And if the bill doesn’t clear the Senate Banking Committee this month, one research firm says the odds of passage in 2026 drop to near zero.

Garlinghouse has been the most vocal industry cheerleader for the CLARITY Act. At the Semafor World Economy event on April 13, he pointed to ongoing negotiations between banks and crypto firms as a sign that the finish line was close.

BSCN covered his remarks:

Ripple CEO expects CLARITY Act passage by late May@Ripple CEO Brad Garlinghouse (@bgarlinghouse) says the long awaited CLARITY Act may pass soon.

Speaking at the Semafor World Economy event on April 13, he pointed to ongoing negotiations between banks and crypto firms. The… pic.twitter.com/UMWeiFUeH5

— BSCN (@BSCNews) April 14, 2026

And there was real reason for that optimism. On April 16, Coinbase Chief Policy Officer Faryar Shirzad appeared on Fox Business and made it clear the company believes the bill is on the move.

Disruption Banking reported on his comments:

“We are hopeful that Chairman Scott is able to schedule a markup as early as this month. Then we’ll be able to get to the floor in May and get the President and Congress another big bipartisan win,” Shirzad said.

The core conflict centers on stablecoin yield regulations. Traditional banks and the American Bankers Association oppose allowing passive yield on stablecoins, fearing it could trigger deposit flight and weaken their lending base. The stablecoin market has surpassed $320 billion with forecasts reaching $1 to $2 trillion.

That sounded like things were on track. But less than 24 hours later, the story shifted.

Senator Thom Tillis, who has been leading the stablecoin yield compromise alongside Senator Angela Alsobrooks, told reporters Thursday that the revised text would not be released this week as planned. The reason: uncertainty about when Chairman Tim Scott will actually schedule the markup vote.

The bill advanced to the Senate Banking Committee on April 14, with clearance expected by end of month:

JUST IN: Clarity Act advances to Senate Banking Committee today, with clearance expected by end of April https://t.co/NFsjGXWGUB pic.twitter.com/tpqv1XWpIw

— crypto.news (@cryptodotnews) April 14, 2026

The delay matters more than it sounds. Galaxy Research has warned that if the Banking Committee does not clear the bill in April, midterm election politics would effectively shelve it until 2027 at the earliest.

Crypto.news had more on the delay:

Senator Thom Tillis announced that the revised stablecoin yield language for the Digital Asset Market Clarity Act will not be released this week, contrary to earlier expectations. The delay stems from lawmakers awaiting clarification on the Senate Banking Committee’s markup timing.

Tillis previously stated: “I think the language has come together well,” suggesting imminent progress, though this timeline has since slipped. Legislative teams continue holding meetings with bank trade groups and crypto firms, indicating active negotiations persist.

The sticking point remains the same one it’s been for months: stablecoin yield. The current compromise bans passive yield on idle balances but allows activity-based rewards tied to actual platform usage. Neither side is fully satisfied.

For XRP holders, the stakes are massive. The CLARITY Act would make the SEC and CFTC’s joint classification of XRP as a digital commodity permanent statutory law, not just a regulatory interpretation that the next administration could reverse. That’s the kind of legal certainty that opens the floodgates for institutional capital.

JPMorgan analysts have projected that passage could send XRP ETF inflows to $4 to $8.4 billion. The bill would also fast-track the entire altcoin ETF pipeline and give real-world asset tokenization a legal framework to build on.

Three weeks. That’s what the crypto industry has left before this window closes. Whether the Senate delivers or punts is about to become very clear.

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