"CLARITY Act ushers in major update, lawyers who support Ripple point out that XRP is expected to w

CLARITY Act ushers in a major update, pro-Ripple lawyers point out that XRP may benefit

On the eve of a critical Senate vote, the CLARITY Act (the Clarification Act) ushered in another major update. A clause in the latest draft may have a particularly important impact on XRP.

Reporter Eleanor Terrett reports that Republican senators have released revised legislative text, which covers changes in political ethics, stablecoin benefits, the Blockchain Regulation Definiteness Act (BRCA) and rules that affect digital goods platforms. Republicans described the new text as the "last, best and final" proposal proposed to Democrats before Tuesday's cloture vote. At the same time, Bill Morgan, a lawyer who supports Ripple, has also raised concerns that the current draft may mean regulatory treatment of XRP in the secondary market.

Republicans make last-minute changes to the CLARITY Act

One of the biggest changes involves political ethics, which is also a major obstacle to negotiations. Terrett reported that President Trump has agreed to about 80% of what a Republican aide called the Tillis-Gallego ethics proposal. This would include requiring that "substantial" financial interests related to cryptocurrencies be either divested or placed in blind trusts.

The proposal would also give state attorneys general a role in enforcing ethics provisions. According to Terrett, this is something the White House has previously resisted. News: Republican senators have released the text of a new "Clarity Act" that includes a revised ethics proposal agreed to by President Trump. The text also contains changes to the Blockchain Regulatory Definiteness Act (BRCA), stablecoin gains, and the so-called "agricultural title" section... -- Eleanor Terrett (@EleanorTerrett) September 14, 2026

These concessions could be critical ahead of Tuesday's vote because Republicans need Democratic support. A closing debate vote scheduled for September 15 requires 60 votes to advance legislation, while Republicans hold only 53 Senate seats. However, even if the adjournment debate is successful, it will be only a procedural step, not the final passage of the CLARITY Act.

Stability coin yields and BRCA provisions have also changed

The revised legislation goes further beyond moral compromise. According to Terrett, the BRCA language has been narrowed down to cover the Bank Secrecy Act and civil enforcement. Language that would have expressly extended protection to criminal cases, including prosecutions under section 1960, has been removed.

The income of stablecoins has also received important supplements. According to reports, the new text contains a "circuit breaker" mechanism designed to address concerns that interest-bearing stablecoins may withdraw deposits from community banks. Under the proposal described by Terrett, federal regulators could step in if there was evidence of a massive flow of community bank deposits into stablecoins, with Treasury Secretary Scott Bessent serving as the arbitrator.

Articles related to agriculture have also been revised. The new text introduces stricter guardrails around vertical integration and conflicts of interest related to digital commodity exchanges, brokers and dealers. It also made it clear that state consumer protection laws continue to apply and that protection for developers will not create exemptions from the derivatives law or affect the forecast market.

Read also: XRP prices may be ready to fluctuate significantly at any time, whether or not the CLARITY Act is passed

Bill Morgan sees this as a potential victory for XRP

For XRPholders, Bill Morgan is focusing on another part of the latest draft. According to this latest draft, no matter how much XRP Ripple holds, XRP will be considered a crypto commodity in the secondary market. Deal with it Bitcoin maxhttps://t.co/ioJpbBlsyo- bill morgan (@Belisarius2020) September 14, 2026

Morgan wrote that under the current version, regardless of the number of XRPs held by Ripple, XRPs will qualify as crypto goods in the secondary market. This distinction can be significant.

Ripple's large holdings of XRP have long been a focus of debate over the regulatory treatment and degree of decentralization of the token. Morgan's interpretation of the new legislation suggests that Ripple's position will not prevent XRP in the secondary market from receiving crypto commodity treatment within the draft framework. This may provide more lasting regulatory clarity than relying entirely on previous court decisions and interpretations. But Morgan commented on proposed legislation, not existing law. His conclusion depends on whether the language in question can survive the legislative process and eventually become law.

Tuesday's vote is the next big test

All attention is now turned to September 15. Republicans need 60 votes to pass the closing debate, which means at least some Democratic support is needed. The latest concessions appear to be aimed at addressing several issues that prevented Democrats from committing to a vote.

Calling the revised proposal "final, best and final" also raises the stakes. If concessions are enough to ensure 60 votes, the CLARITY Act can continue to move into further consideration in the Senate. If not, then current efforts to establish a comprehensive structural framework for the U.S. crypto market will face another major obstacle.

For XRP, the impact could ultimately be huge. Morgan believes that the current text provides a path for XRP to obtain clear crypto commodity treatment in the secondary market, regardless of Ripple's position. But first, legislation must survive Tuesday.