The signing of the Genius Act earlier this year was viewed by many as a milestone in preparing the foundation for a regulated digital financial system. However, there is growing sentiment that another crucial piece of legislation is needed before the utility of XRP can be fully realized, and it can leave the $3 level.
What is Holding XRP Back?
In a video shared by DeepWebSlinger (@deepwebslinger), TikTok user Tomihumihum offered a perspective on the issue that has resonated with segments of the XRP community.
He argued that although the Genius Act has already been signed, the absence of the Clarity Act prevents major financial institutions from using digital asset infrastructure.
He stated that “without the Clarity Act, which is supposed to be now under review, nothing can run at full speed,” emphasizing that the regulatory environment remains incomplete.
Everyone is wondering why XRP is still hovering around $3. This guy explains it perfectly.
Be patient pic.twitter.com/BYzezcbpQ9
— DeepWebSlinger (@deepwebslinger) September 30, 2025
Legislation as the Key Factor
According to Tomihumihum, the infrastructure necessary for digital asset integration with traditional finance is already in place. However, it cannot be activated until legislation provides the required authorization. He noted that this situation limits the involvement of large financial corporations with XRP and other tokens he referred to as ISO 20022 coins.
His explanation suggests that the delay in price appreciation is tied to the absence of legal clarity rather than a lack of technological progress or market interest. He added that “it’s not about utility today. It’s about legislation catching up and then utility follows,” implying that legal clarity will unlock the usage of digital assets by institutions.
We are on X, follow us to connect with us :- @TimesTabloid1
— TimesTabloid (@TimesTabloid1) June 15, 2025
Expectations for the Coming Months
Tomihumihum’s remarks also pointed to a timeline, suggesting that the signing of the Clarity Act later this year could kickstart a new phase of growth. XRP has stayed between $2 and $3 for most of 2025, and DeepWebSlinger believes the absence of the clarity act is the primary reason why XRP is still around $3.
In his view, liquidity is already available and ready for deployment. Once the Clarity Act is signed, he believes it could trigger a new phase of price movement based on real-world utility, sending XRP far above $3.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent BitcoinLinux’s opinion. Readers are advised to conduct thorough research before making any investment decisions. Any action taken by the reader is strictly at their own risk. BitcoinLinux is not responsible for any financial losses.
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Author: NixCoin