CLARITY Act: Hoskinson Challenges Ripple CEO’s ‘Better than No Clarity’ Statement

In a recent live broadcast, Cardano [ADA] Founder Charles Hoskinson openly criticized Ripple CEO Brad Garlinghouse for his endorsement of the CLARITY Act. Hoskinson suggested that supporting the act in its current form could potentially lead to negative outcomes for the cryptocurrency industry.

Key Takeaways

Charles Hoskinson critiques Ripple CEO's support for the CLARITY Act.
He questions whether flawed legislation is better than no regulation at all.
Following Hoskinson's remarks, the sentiment around Cardano saw a significant shift.
ADA's price experienced volatility, dropping slightly but maintaining stability thereafter.

cardano

Is Something Really Better than Nothing?

Hoskinson’s main argument revolves around the idea that flawed legislation may not be preferable to unclear regulations. While Garlinghouse has shown support for the CLARITY Act despite recognizing its deficiencies, Hoskinson expressed skepticism about placing trust in a regulatory environment that has previously targeted crypto firms. He pointed out Ripple's long-standing legal battles with regulators, like the SEC, which took years to resolve.

cardano Source: X

During his broadcast on X, Hoskinson cautioned against expediting the act without addressing its significant flaws. He argued that returning power to regulators unchecked could lead to further complications, stating, "And you still got people like Brad (Garlinghouse) saying, well, it’s not perfect, but we just got to get something, you know, it’s better than no clarity. Handed to the same people who sued us!"

Bullish Sentiment Rises

Hoskinson's comments sparked a wave of engagement across social media, particularly among Cardano supporters.

cardano Source: Santiment

According to data from Santiment, there was a notable increase in bullish commentary, which surpassed bearish opinions with a ratio of more than 27 positive remarks for every negative comment.

Additionally, the social volume and dominance of ADA experienced a brief boost, highlighting a sudden spike in attention and optimism surrounding the cryptocurrency.

ADA Experiences Price Fluctuations

In the wake of these events, ADA's market activity showed some defensive behavior. The token's price dipped from just below $0.40 to approximately $0.36 within a few hours, reflecting a significant correction following the surge in interest. Since then, ADA has remained relatively stable, trading within the $0.36 to $0.37 range.

cardano Source: TradingView

At the time of this report, the Relative Strength Index (RSI) was around 43, indicating a neutral market with neither oversold conditions nor significant buying pressure. Meanwhile, the Moving Average Convergence Divergence (MACD) was under the zero line, showing a decline in selling momentum.

Conclusion

In summary, the discourse surrounding the CLARITY Act continues to draw mixed reactions in the crypto community. Hoskinson's critique of Garlinghouse's approach emphasizes the need for careful consideration of regulatory frameworks in the evolving cryptocurrency landscape. As ADA navigates the current market dynamics, its future remains closely tied to these ongoing discussions.