The popular XRP-themed account “$589” posted an extensive update outlining the current status and implications of the Digital Asset Market Structure Clarity Act (H.R. 3633), commonly referred to as the CLARITY Act.
According to the post, if the U.S. House of Representatives enacts the bipartisan legislation, it could officially classify XRP as a commodity, potentially ending regulatory uncertainty surrounding the asset.
Provisions of the CLARITY Act
The tweet provided details on what the legislation contains and why it is significant for digital assets. The CLARITY Act, formally named the Digital Asset Market Structure Clarity Act, aims to define the circumstances under which a digital asset is considered a commodity.
It also seeks to limit what the account described as regulatory overreach by the U.S. Securities and Exchange Commission, instead assigning primary oversight of digital assets to the Commodity Futures Trading Commission.
The post emphasized that this proposed law aligns with Judge Analisa Torres’ prior ruling in the Ripple case, which determined that XRP was not a security when sold on secondary markets. However, as “$589” noted, the new bill would elevate that principle from case law to federal legislation, providing a statutory framework rather than a judicial interpretation.
Implications for Ripple and XRP
According to the tweet, Ripple has been advocating for such regulatory clarity since 2013. The account suggested that Ripple’s business model, particularly its cross-border payments network and enterprise-grade liquidity solutions, requires a clear legal status for XRP.
The tweet mentioned Ripple’s products RippleNet and RLUSD, clarifying that stablecoins like RLUSD do not replace XRP but instead complement it. It explained that while stablecoins function as local vehicles, XRP remains the global bridge asset for transactions.
We are on X, follow us to connect with us :- @TimesTabloid1
— TimesTabloid (@TimesTabloid1) June 15, 2025
The tweet further argued that the passage of this legislation could open the door for broader institutional adoption of XRP by removing the legal uncertainties that have deterred banks, payment companies, and other institutional players. It also stated that clear regulatory guardrails would reduce risk, potentially paving the way for new financial products such as exchange-traded funds based on XRP.
Market Response and Outlook
The account also commented on recent market behavior, noting that options data indicate XRP volatility has increased by nearly 100 percent, with expectations of price swings exceeding 13 percent in the near term. The post interpreted this as a sign that institutional investors are already positioning themselves in anticipation of the vote.
The tweet framed the upcoming House vote as a historic moment for the U.S. digital asset market, with XRP positioned “front and center.” The account underscored that passage of the CLARITY Act in the House would leave only Senate approval before it could become law, describing it as potentially the most significant regulatory shift in U.S. crypto history. According to “$589,” XRP remains the bridge asset for the emerging financial system, and this vote marks a decisive step toward that vision.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are advised to conduct thorough research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
Follow us on X, Facebook, Telegram, and Google News
