TLDR
- Garlinghouse said Congress should codify SEC and CFTC crypto guidance into law.
- He warned future SEC leaders could repeat Gary Gensler’s enforcement approach.
- Garlinghouse said the CLARITY Act could pass by the end of May.
- Ripple said Treasury and Prime drove growth as the company raised headcount by 50%.
Ripple CEO Brad Garlinghouse said US crypto rules need legal backing, not agency guidance alone. He warned that codified law is needed to avoid another “weaponized Gensler moment.” His remarks followed joint SEC and CFTC guidance that classified 16 digital assets as commodities. Ripple’s CEO said clear law matters more than temporary policy shifts.
Garlinghouse asks Congress to codify crypto rules
Garlinghouse called the joint framework a “huge step forward” after years of enforcement-led regulation in the United States. He linked that period to former SEC Chair Gary Gensler. He said that record left many firms unsure about which assets were securities or commodities.
In a television interview, he said Congress should turn the SEC-CFTC guidance into binding federal law. He said that would limit policy swings after future leadership changes. “We want to make sure that we can’t have another Gary Gensler moment,” he said.
Garlinghouse said Gensler acted in bad faith around crypto policy. He tied that concern to the Ripple case, which continued after Gensler took office in 2021. He argued that policy should not be used for political ends. He said clear law would protect crypto innovation and the country’s place in global finance.
CLARITY Act remains central to the debate
Garlinghouse said the CLARITY Act is moving through a difficult but active legislative process in Washington. He described talks among lawmakers, regulators, and industry groups as ongoing and sometimes messy. He said the bill could pass by the end of May.
He also praised the White House for pushing the work forward. “We’re seeing amazing leadership to push this forward,” he said. He added that the process was taking longer than many companies first expected.
He said the bill would not materially change Ripple’s business. Still, he said it could open doors for US banks. He said more banks and financial firms may enter crypto once rules are settled. He said clearer rules could also reduce compliance uncertainty.
Ripple points to growth in Treasury and Prime
Garlinghouse said Ripple kept growing even as the wider crypto market stayed flat heading into 2026. He said Ripple Treasury and Ripple Prime were the main growth drivers across the business. Both units were added through acquisitions.
He said Ripple Treasury beat internal expectations after launch. The unit gives finance teams real-time global liquidity and faster cross-border settlement. He said that service supports instant payments for companies operating across several markets.
Garlinghouse said Ripple Prime tripled its revenue run rate. He said the company is focused on combining its newer businesses rather than launching more ventures. Ripple raised headcount by 50% and invested more than $1 billion this year. The company wants deeper corporate use, a broader brokerage arm, and more trust in XRP.
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