Ripple CEO Brad Garlinghouse urged U.S. lawmakers to expedite the development of a well-defined regulatory framework for stablecoins.
In a May 9 statement on the social media platform X (formerly Twitter), Garlinghouse emphasized the growing global adoption of stablecoins and warned that the United States risks losing its competitive edge without prompt regulatory action.
Garlinghouse highlighted the swift incorporation of stablecoins into global markets, stating that practical use cases are driving their broad acceptance. He noted that continued delays in enacting clear regulations could restrict the nation’s capacity to fully capitalize on the technology’s benefits.
The remark was made in response to the U.S. Senate’s recent failure to advance the GENIUS Act, a proposed piece of legislation intended to establish a federal framework for stablecoin regulation.
On May 8, U.S. lawmakers cast a narrow 49–48 vote against advancing the bill, thereby effectively halting its progression. Nevertheless, lawmakers plan to present a revised version of the legislation in the coming weeks.
U.S. Treasury Secretary Scott Bessent sharply criticized the decision and characterized the vote as a missed opportunity.
Bessent stated that the GENIUS Act could, in turn, strengthen U.S. influence and reinforce the dollar’s dominance, especially in the context of a rapidly evolving financial environment.
This bill represents a once-in-a-generation opportunity to expand dollar dominance and U.S. influence in financial innovation.
He further added:
Without it, stablecoins will be subject to a patchwork of state regulations instead of a streamlined federal framework that is more conducive to growth and competitiveness.
Surging Adoption of Stablecoins
Garlinghouse issued his appeal as stablecoin usage reaches record-breaking levels.
Stablecoins, in contrast to highly volatile digital assets such as Bitcoin, are generally pegged to fiat currencies like the U.S. dollar, thereby providing enhanced price stability and increased practicality for use in payments and cross-border transactions.
Data from a16z crypto revealed that stablecoin transaction volumes reached an all-time high of $1.82 trillion in March 2025, underscoring the expanding role these assets are playing within the digital economy.
As a result, traditional financial institutions have started recognizing the significance of stablecoins. Over the past month, firms such as Stripe and Meta have expressed growing interest in the stablecoin space, indicating its escalating relevance within the wider financial landscape.
