XRP Price News: 120 Crypto Firms Just Told the Senate to Pass the CLARITY Act

Quick Read

XRP (CRYPTO: XRP) has spent most of 2026 stuck waiting on one key catalyst: The CLARITY Act. The bill, which would make XRP’s commodity classification permanent, has been close to passing for nearly a year. It cleared the House last summer and won over Coinbase, the Treasury, and the SEC in April after months of pushback. Every box but one has been checked: a Senate Banking Committee vote.

On April 23, over 120 crypto organisations, including Coinbase, Ripple, Kraken, Circle and Andreessen Horowitz, signed a joint letter telling the Senate to move the CLARITY Act forward. The letter was sent a day after Senator Bernie Moreno warned the bill has to clear the Senate by the end of May or risk being shelved till 2030. With crypto industry leaders pushing for action, will the bill finally pass and XRP ultimately get permanent legal clarity?

The analyst who called NVIDIA in 2010 just named his top 10 stocks. Get them here FREE.

What the CLARITY Act Is and How It Got This Far

The CLARITY Act—formally the Digital Asset Market Clarity Act—gives crypto something it has never had in the United States: a clear federal rulebook on which agency regulates what. For years now, the SEC and CFTC have both claimed authority over the same assets, leaving crypto firms stuck in court fights and enforcement actions instead of working under clear rules.

CLARITY Act fixes that by sorting every digital asset into one of three buckets: securities under the SEC, digital commodities under the CFTC, and stablecoins under a shared framework. For XRP, that means digital commodity territory. So if the bill passes, XRP’s classification will be locked into federal law. No future SEC administration will be able to reverse the March 17, SEC and CFTC official classification of XRP as a digital commodity.

The House passed the bill 294-134 on July 17, 2025, which was  a rare bipartisan vote on crypto legislation. However, things slowed down in the Senate. A Senate Banking Committee markup scheduled for January 14, 2026 was postponed over a fight about whether crypto platforms could pay yield on stablecoin balances.

Banks argued it would drain billions from deposits, while crypto firms argued they were giving rewards rather than paying bank interest. The fight froze the bill for two months. Then, Senators Thom Tillis and Angela Alsobrooks broke the deadlock on March 20, with a compromise that bans passive yield on stablecoin holdings but allows activity-based rewards tied to actual usage.

Three weeks later, the bill picked up its biggest endorsements yet. On April 9, Coinbase reversed its opposition, Treasury Secretary Scott Bessent backed it in a Wall Street Journal op-ed, and SEC Chair Paul Atkins said his agency was ready to enforce it as soon as Congress acts.

The Latest on the CLARITY Act and Its End-of-May Deadline

You’d think with Coinbase, the Treasury, and the SEC all on board, the Senate Banking Committee would have set a markup date by now. Two weeks after the April 9 endorsements, Chairman Tim Scott still hasn’t put the CLARITY Act on the calendar, and the industry is starting to push back on it.

On April 23, more than 120 crypto organisations led by the Crypto Council for Innovation and the Blockchain Association sent a joint letter to the Senate Banking Committee, urging it to schedule the markup immediately. The letter was sent a day after Senator Bernie Moreno warned at a Washington event that the bill has to clear Congress by the end of May or risk being shelved indefinitely. Moreno’s words moved Polymarket odds of 2026 passage from 38% to 46%, but the markup date that would unblock the bill still isn’t on the calendar.

The Banking Committee has had its hands full with other things. On April 21, the committee held Kevin Warsh’s confirmation hearing for Fed Chair, leaving little floor time for the markup. On top of that, Senator Thom Tillis has asked Tim Scott to push the markup to May, saying banks need more time to negotiate the final stablecoin yield language. The American Bankers Association is running anti-stablecoin yield ads in Politico while Tillis negotiates.

With Memorial Day recess starting on May 21 and only a handful of working weeks left before the midterm calendar takes over, every week of delay shrinks the window further. Senator Cynthia Lummis has been blunt about what missing the window means: she says Congress would have to wait until at least 2030 for another shot.

What the CLARITY Act Would Actually Do for XRP

XRP’s commodity status today only exists because the SEC and CFTC issued a joint interpretation on March 17, calling it a digital commodity. That gave XRP legal cover, but only because the current SEC says so. A future administration could reverse it without a single Senate vote, and XRP would be back in the same legal grey zone it spent four years climbing out of.

The CLARITY Act is the only thing that makes that permanent. Once the bill is law, no future regulator will be able to touch the commodity classification without an act of Congress. So, the bill is the difference between a permanent legal foundation and one that could disappear with a single appointment.

Ripple’s On-Demand Liquidity service uses XRP as a bridge currency to settle cross-border payments in seconds, instead of the days it takes through traditional banks. The product already operates across more than 300 financial institutions globally. However, U.S. banks won’t fully commit to XRP without permanent federal cover. Ripple has had to route most of its U.S.-facing institutional flow through fiat and its RLUSD stablecoin.

Once banks have that federal cover through the CLARITY Act, XRP-based ODL will become legally clean for them to use. Ripple’s institutional infrastructure will start pulling actual XRP demand for the first time—and that’s the difference the next four weeks could make.

XRP Price Prediction Based on the CLARITY Act Outcome

XRP is trading at $1.43, just under the $1.45 resistance level it has tried and failed to break four times this month. The next four to six weeks could decide where the XRP price is headed depending on the bill passing or not.

CLARITY Act Passes

If the Senate Banking Committee clears the markup in May, the full Senate passes it, and the president signs before midterm politics take over, XPP ETF inflows would pick up immediately. XRP ETFs led the entire sector last week, pulling 53% of the $224 million that flowed into crypto funds globally. Compliance teams at major firms have been waiting for federal cover before going bigger, and the bill would give them that.

Standard Chartered projected $4 billion to $8 billion in cumulative XRP ETF inflows by year-end if the bill passes. With flows of such volume, XRP would most likely break the current resistance, retest its 200-day moving average at $1.80, and have the runway to push toward higher targets like $3-5 target by late 2026.

Most analysts forecast XRP even reaching between $5 and $10 if the CLARITY Act clears Congress. Anything above that would need a second catalyst, like Ripple’s Federal Reserve master account application coming through, which would let banks settle in XRP directly.

CLARITY Act Fails

If Tim Scott doesn’t schedule the markup before Memorial Day recess on May 21, or if the markup happens but Republicans can’t unify the committee vote, the bill will most likely be shelved until 2030. In that case, XRP will lose its only Ripple-specific catalyst and go back to moving with Bitcoin instead of leading.

The institutional flows that just turned green would likely reverse, the same way they did in March, when weekly XRP ETF inflows fell from over $200 million to roughly $2 million by end of month. Without the bill, Ripple’s institutional infrastructure would keep growing through stablecoins and fiat instead of XRP, without driving actual XRP demand.

Standard Chartered already revised its 2026 XRP target down to $2.80 in February, assuming a delayed bill rather than a failed one. So in a no-bill scenario, XRP would likely range between $1.50 and $2.50 for the rest of the year, with most upside tied to Bitcoin breaking higher.

However, if the $1.28 technical floor breaks on a broader market sell-off, the next major support is closer to $0.80, with not much holding it up in between.

The Next 30 Days Could Decide XRP’s Outlook for 2026

The CLARITY Act is genuinely on a knife edge, and the next 30 days could decide it. Every major endorsement and industry letter has already been delivered. So one thing hasn’t moved: a markup date on the Senate Banking Committee calendar. The announcement from Tim Scott is the only thing that matters between now and Memorial Day.

The window will open up after May 15, when Powell’s Fed term ends and the Banking Committee wraps up the Warsh confirmation hearings. That will give Scott two clear weeks to schedule and run the markup before Memorial Day recess closes the calendar.

So if you hold XRP, the one thing to watch in the next three weeks is the Senate Banking Committee’s calendar. A markup date announcement from Tim Scott’s office is the signal that the bill is alive. If that entry appears, the path to passage will become realistic. If it doesn’t, it could be shelved for years, and XRP will go back to waiting for another major catalyst to break higher.

The analyst who called NVIDIA in 2010 just named his top 10 AI stocks

This analyst’s 2025 picks are up 106% on average. He just named his top 10 stocks to buy in 2026. Get them here FREE.