XRP jumped 4% to nearly $1.5 on Thursday, leading a broader rally in payment-focused cryptocurrencies after a House markup vote on the CLARITY Act. The proposed federal law would codify a court ruling that secondary-market XRP sales aren't securities, and Section 401 would let US banks use digital assets for payments, custody, and settlement without waiting for prior regulatory sign-off.
The price action pushed XRP past Bitcoin and Ethereum in 24-hour volume on South Korea's Upbit exchange, with $110 million changing hands. US XRP exchange-traded funds saw their biggest inflows in four months, while Bitcoin and Ethereum funds bled out — a clear signal of rotation.
Why XRP is leading this week
Traders are treating XRP, Stellar Lumens, Cardano, and Hedera as a single bucket of networks built for institutional payments. All four posted gains that outran Bitcoin's flat day at $81,450 and Ethereum's $2,287. The logic: if the CLARITY Act becomes law, banks can plug these blockchains into existing payment rails without a regulatory guessing game.
That narrative isn't new, but the markup vote gave it teeth. The bill hasn't passed yet — it still needs floor votes in both chambers — but the committee's move was enough to shift real money.
What the CLARITY Act actually does
Two provisions are driving the rally. First, it locks in the 2023 federal ruling that XRP sales on secondary markets aren't securities, giving exchanges and token holders a statutory safe harbor. Second, Section 401 explicitly permits federally chartered banks to use digital assets for payments, settlement, and custody without a prior no-action letter from regulators.
That second point is why Stellar, Cardano, and Hedera rallied alongside XRP — they're all built around payments and tokenization. Capital is rotating into assets seen as ready for a regulated environment where banks can plug into digital infrastructure.
Futures launch adds another catalyst
CME Group and NASDAQ announced they'll launch crypto index futures on June 8, covering Bitcoin, Ethereum, Solana, XRP, Cardano, Chainlink, and Stellar Lumens in a single contract. The product gives institutional traders a regulated way to bet on a basket of tokens — including the ones that just got a regulatory tailwind.
Timing isn't accidental. The futures contract goes live less than a month after the CLARITY Act markup, and if the bill keeps advancing, the index may see heavy demand from funds that couldn't touch these assets before.
The next concrete milestone: the CLARITY Act heads to the full House floor. No date is set yet, but Thursday's markup put it on a track that market participants are watching closely.
