XRP Awaits CLARITY Act as House Demands Senate Vote by August Recess

XRP News

XRP holders are watching Washington closely after House Financial Services Committee Chair French Hill publicly urged Senate leaders to schedule a floor vote on the Digital Asset Market CLARITY Act before the August recess. One year after the House passed the bill, Hill argued that a firm deadline is the only mechanism that forces final negotiations to a close. The market-structure legislation would define when a token such as XRP, an altcoin, is treated as a commodity rather than a security — the exact classification question that shadowed XRP for years. Hill thanked senators including Cynthia Lummis and Tim Scott for advancing a deal, noting that 78 Democrats had backed the House measure.

The push met immediate resistance from the other side of the aisle. Five Democratic ranking members of Senate committees issued a Friday notice calling for hearings to investigate the national security implications of President Trump’s cryptocurrency holdings. They cited his 2025 financial disclosure, which reported roughly $1.4 billion in income tied to ventures including his memecoin and the family-linked World Liberty Financial platform. The lawmakers warned the figures heighten concerns that the President is pressing Congress to pass rules favoring an industry he profits from, and flagged possible influence from the United Arab Emirates or undisclosed third parties on his actions.

Separately, a measure barring the Federal Reserve from issuing or creating a central bank digital currency — a CBDC, the state-run digital form of a national currency — is set to become law after the President declined to sign it. The prohibition runs until Dec. 31, 2030. The timing, hours after the Democrats’ notice, underscores how the settlement-asset debate is hardening in Washington. A federal ban on public digital dollars narrows the field for cross-border payment rails, an arena where XRP has long positioned itself as a private-sector alternative for institutional value transfer.

Hill framed the CLARITY Act as the missing half of a two-part regulatory system, pairing it with the GENIUS Act, the stablecoin law enacted last year. “Stablecoin is like a cell phone not connected to a cell phone network,” he said, describing market structure as the network the sector still lacks. That framing matters for XRP, whose ledger settles alongside dollar-pegged tokens; a clear line between algorithmic stablecoins and regulated fiat-backed ones would sharpen how issuers and payment providers build on public networks. Hill described GENIUS and CLARITY as complementary pillars of a single, coherent framework.

To sustain pressure, Hill plans a field hearing in New York next week, led by digital assets subcommittee chair Rep. Bryan Steil, to argue the case for a market-structure regime directly to industry stakeholders. The choice of New York, the traditional seat of U.S. capital markets, signals an effort to frame the CLARITY Act as mainstream financial policy rather than niche crypto legislation. Supporters contend that codifying commodity-versus-security tests would remove the enforcement-by-litigation approach that dogged assets like XRP, replacing case-by-case court fights with statutory definitions that exchanges, custodians and token issuers could plan around.

The legislative arithmetic remains the central obstacle. Senate rules require 60 votes to end a filibuster and advance a bill, meaning Republicans must win over some Democrats to pass CLARITY. As the minority, Democrats have limited power to convene their own hearings, but their leverage over the vote threshold is decisive. Many signal they will withhold support without explicit ethics provisions addressing the President’s ventures — including $TRUMP memecoin licensing and World Liberty Financial token sales. Even Hill has conceded that the President’s crypto ties made passing legislation “more complicated,” leaving the July timetable dependent on a negotiated ethics compromise that has yet to materialize.

Against that policy backdrop, COINOTAG’s proprietary 42-indicator composite S/R scoring engine rates the $1.0978 support at 99/100 — the strongest reading on our board — anchored by the confluence of the ATR Lower band, the S3 pivot and Fibonacci 0.114. To the upside, the engine scores $1.1242 resistance at 85/100, driven by the R3 pivot, Fibonacci 0.236 and the Ichimoku Tenkan. XRP trades near $1.1068, up 0.87% on the day. Our reading of the derivatives shows a 3.23 long/short account ratio (76.4% long) against a slim 0.0049% funding rate and $649 million in open interest — crowded positioning that risks a squeeze. With RSI at 45.95, a bullish MACD but a broader downtrend, and Fear & Greed at 26, a clean break above $1.1242 favors bulls; a daily close below $1.0978 invalidates the thesis.