Ripple CEO Bets Big on Legislation
#Ripple ’s leadership is placing a significant wager on near-term regulatory clarity in the United States. Brad Garlinghouse, Ripple’s CEO, announced a striking 90% probability that the Clarity Act—a bill designed to define which digital assets
$XRP fall under securities
#Regulation and which are overseen by the Commodity Futures Trading Commission—will pass by the end of April. This forecast was made during a Fox Business interview and marks one of the most confident public predictions from a major crypto executive this year.
The Clarity Act has faced hurdles, particularly around stablecoin rewards and whether crypto platforms can offer yield-like incentives. Despite these obstacles, Garlinghouse pointed to renewed engagement from lawmakers and the White House, with March 1 set as a target date for advancing negotiations. Ripple has spent nearly $3 billion since 2023 on liquidity management and cross-border payment solutions, underscoring its commitment to regulatory progress.
RLUSD
$RLUSD Rises as SEC Softens Rules
Regulatory winds are shifting for stablecoins in the U.S., with Ripple’s RLUSD emerging as a direct beneficiary. The Securities and Exchange Commission (SEC) recently issued new guidance reducing the capital deduction—or “haircut”—that broker-dealers must apply to payment stablecoin holdings from 100% down to just 2%. SEC Commissioner Hester Peirce clarified that this aligns with requirements for money market funds, making RLUSD and other qualifying stablecoins more attractive for institutional use.
This rule change applies specifically to payment stablecoins issued by state-regulated money transmitters or trust companies before next year’s GENUS Act effective date. SEC Chair Paul Atkins described this move as a positive development for traditional financial firms interested in on-chain markets. For broker-dealers, it means they can now settle trades using stablecoins like RLUSD without severely impacting their balance sheets—a shift called “the most important win of the year” by Exodus CEO JP Richardson.
On paper, regulatory relief sounds technical, but it could significantly boost liquidity and efficiency across both crypto and traditional asset trading.
SBI Launches Blockchain Bonds Using XRP
In Asia, Ripple’s influence is expanding through its partnership with SBI Holdings. The Japanese financial giant announced plans to issue its first Series ST Bonds worth $64.52 million—bonds that will pay investors in XRP rather than yen or dollars. These bonds will be digitally registered and tokenized via BOOSTRY’s “ibet for Fin” platform, bypassing Japan’s conventional securities settlement systems entirely.
SBI will handle issuance, administration, and settlement fully on-chain. Secondary trading is scheduled to start on March 25, 2026, through Osaka Digital Exchange’s START system. Retail investors are eligible if they hold an account with SBI VC Trade and complete necessary steps by May 11. In addition to receiving XRP equivalent to their bond subscription upon payment confirmation, holders will be rewarded with extra
$XRP on interest dates in March 2027, March 2028, and March 2029.
As of press time, XRP trades between $1.4 and $1.45—a modest increase of 0.81% over the past week according to CoinMarketCap.
Why It Matters
These developments carry practical weight for both institutional players and everyday investors. The SEC’s reduction of the stablecoin haircut from 100% to 2% means broker-dealers can finally integrate digital dollars into their operations without crippling capital costs—potentially improving trade settlement speed for millions of retail brokerage accounts. Interactive Brokers’ move last month to allow stablecoin deposits is one immediate example of this shift taking root in mainstream finance.
For retail investors in Japan, SBI’s blockchain bonds represent a tangible way to access digital assets—receiving payouts in XRP rather than fiat currency—and could serve as a template for future tokenized securities globally. However, it remains uncertain how widely these models will be adopted outside regulated environments or replicated in other jurisdictions soon.
Micro-Contrast: Progress Amid Volatility
On paper, Ripple is gaining ground with regulators and financial institutions; yet its native token XRP recently experienced a steep decline of 40%, highlighting persistent volatility even as structural advances unfold. While legislative optimism runs high among executives like Garlinghouse—with his 90% confidence in U.S. regulatory breakthrough—the broader market reaction remains mixed.
This contrast raises a key question: Can regulatory clarity and institutional adoption offset price swings enough to reassure both investors and industry participants?
According to journalducoin.com,
#Ripple has invested nearly $3 billion since last year into liquidity management and cross-border payments—an indication that its strategy extends well beyond short-term market movements.
The Essentials
•Ripple CEO Brad Garlinghouse predicts a 90% chance the Clarity Act will pass by the end of April 2024.•The SEC reduced the stablecoin haircut for broker-dealers from 100% to 2%, directly benefiting Ripple’s RLUSD.•SBI Holdings will issue $64.52 million in on-chain bonds paying investors in XRP, with secondary trading starting March 25, 2026.
Signals worth watching
If the Clarity Act—intended to clarify the regulatory status of digital assets including Ripple’s XRP—passes by the end of April as Ripple CEO Brad
#Garlinghouse estimates a 90% chance, it would immediately resolve ongoing uncertainty over XRP’s classification in the U.S.; however, this outcome remains unconfirmed as legislative negotiations continue.