Cardano’s Charles Hoskinson Blasts Ripple CEO Over ‘Sabotaged’ Clarity Act – Why?

Charles Hoskinson, the founder of Cardano, has publicly criticized Ripple CEO Brad Garlinghouse, who has endorsed the Digital Asset Market Clarity Act, a bill of the U.S. crypto market structure that has become controversial in the industry.

The controversy shows the continual gap between key crypto players on whether to have imperfect regulation instead of years of uncertainty, as the legislation waits longer for enactment due to deepening political and policy fears.

Hoskinson’s criticism surfaced during a live broadcast on X, where he questioned why Garlinghouse would back a bill that, in his view, risks handing regulatory authority back to agencies that have previously taken enforcement action against the industry.

Happy Sunday https://t.co/OqL64m7JEz

— Charles Hoskinson (@IOHK_Charles) January 18, 2026

Hoskinson said he was alarmed by the argument that any form of clarity is preferable to none, especially when the bill would empower the same institutions that have sued crypto companies in the past.

He framed the issue as one of trust, warning against conceding control to regulators who, he said, had already demonstrated hostility toward the sector.

Hoskinson Doubts CLARITY Act Can Survive This Quarter

The remarks were in response to Garlinghouse’s public endorsement of the CLARITY Act, which seeks to clarify the regulatory jurisdiction between the U.S. Securities and Exchange Commission and the Commodity Futures Trading Commission.

Garlinghouse has claimed that the bill is not flawless, but even with its passing, it would be an improvement in an industry that has been shrouded in legal ambiguity.

He has maintained that the crypto sector cannot afford to wait indefinitely for ideal legislation, particularly as lawmakers attempt to merge the Clarity Act with broader crypto market structure proposals.

Hoskinson’s objections go beyond the bill’s text and extend into the political environment surrounding it. He has blamed the Trump administration’s crypto policy leadership, particularly David Sacks, for undermining the bill’s early bipartisan momentum.

📉 The @SECGov has sharply scaled back its enforcement actions against the cryptocurrency industry since @realDonaldTrump returned to office.#SEC #Trumphttps://t.co/NCTPm62pCR

— Cryptonews.com (@cryptonews) December 16, 2025

Hoskinson said that what once had a realistic chance of passage became politically compromised after President Trump’s involvement in launching meme coins, which he said turned regulatory discussions into partisan theater.

Hoskinson has gone as far as calling for Sacks to resign if he fails to guide the legislation through Congress, arguing that the window for passage is rapidly closing.

🚨 Cardano’s Charles Hoskinson says Trump’s crypto czar should resign if the CLARITY Act fails this quarter, criticizing U.S. crypto policy and regulatory failures.#CLARITYAct #Cardano https://t.co/8PnQun55TI

— Cryptonews.com (@cryptonews) January 12, 2026

The Cardano founder suggested that the likelihood of passage diminishes with each week of inaction, as competing priorities and political calculations take over in Washington.

Optimism Meets Resistance as Crypto Leaders Disagree on Clarity Bill

Not all industry leaders share Hoskinson’s pessimism, as Galaxy Digital CEO Mike Novogratz has said he believes the bill could still move forward within weeks, citing conversations with bipartisan lawmakers who remain engaged.

🚨 @galaxyhq warns the Senate crypto bill could give the U.S. Treasury “Patriot Act-style” surveillance powers over DeFi.#DeFi #Senate #Treasury https://t.co/0u8PR3ueM5

— Cryptonews.com (@cryptonews) January 14, 2026

At the same time, Coinbase CEO Brian Armstrong has distanced his company from the bill in its current form, adding another layer of complexity to the debate.

Armstrong confirmed that Coinbase withdrew its support over concerns that the latest draft could harm decentralized finance, restrict tokenized stock offerings, and prohibit stablecoin yield-sharing with users.

Though he refuted claims of a rift between Coinbase and the White House, Armstrong stated that the exchange would prefer that the bill be stalled rather than enacted with what he called harmful provisions to innovation and consumers.

❌ @Coinbase CEO @brian_armstrong denied reports of a White House rift and said support for the CLARITY Act remains intact.#Coinbase #Cryptohttps://t.co/530Jslc9vX

— Cryptonews.com (@cryptonews) January 18, 2026

This position of Armstrong seems to correspond more with the concerns of Hoskinson than with those of Garlinghouse.

Lawmakers subsequently postponed a planned markup of the bill, showing that negotiations remain unresolved.

The debate has exposed broader tensions within the crypto sector, with some executives pushing for immediate regulatory clarity and others warning that rushed legislation could entrench restrictive rules for years.