Chris Larsen has reportedly backed a derivatives startup founded by the son of US Senator Kirsten Gillibrand as lawmakers continue negotiating the CLARITY Act, a crypto market structure bill expected to shape the industry’s regulatory framework.
Summary
- Chris Larsen reportedly invested in a startup founded by Senator Kirsten Gillibrand’s son as CLARITY Act negotiations continue.
- The reported investment comes while lawmakers debate ethics rules tied to the crypto market structure bill.
- Senate Republicans are seeking Democratic support to pass the CLARITY Act before the legislative window narrows.
According to a Thursday report by Politico, Ripple co-founder and executive chair Chris Larsen was among the investors supporting the American Perpetuals Exchange Corp. (APEC), a derivatives platform founded by Theodore Gillibrand. The report said the company raised roughly $30 million, with most individual investors contributing between $5,000 and $10,000, though Larsen’s exact investment amount was not disclosed.
The reported investment comes while Senator Gillibrand remains involved in Senate negotiations over ethics provisions tied to the Digital Asset Market Clarity (CLARITY) Act. The proposed legislation is expected to affect digital asset companies operating in the United States, including Ripple.
Larsen remains closely watched by the XRP community
Separately, Larsen has remained under close observation by XRP investors because of his large cryptocurrency holdings and past wallet activity. Blockchain data previously showed wallets linked to the Ripple executive becoming active before notable political and market events.
Crypto.news reported in May that Larsen controls an estimated 2.58 billion XRP across eight wallets tracked on XRPScan, making him one of the largest known individual XRP holders. The publication also noted that dormant wallets linked to Larsen resumed activity in January 2025, transferring more than $109 million worth of XRP to exchanges including Coinbase, Bitstamp and Bybit.
Later, blockchain investigator ZachXBT reported that Larsen-linked addresses moved another 50 million XRP, with roughly $140 million eventually reaching exchanges while XRP traded near record highs.
In the meantime, Democratic lawmakers have continued pressing Republicans to include stronger ethics language in the CLARITY Act, citing President Donald Trump’s connections to the cryptocurrency industry.
The Senate has only a limited window to complete work on the CLARITY Act before lawmakers leave Washington again. Following the Independence Day recess, senators are scheduled to return on July 13 before another month-long state work period begins in August, narrowing the available time to pass the legislation before the US election period is expected to slow congressional activity.
Republican lawmakers, who hold a narrow Senate majority, have indicated they expect the bill to pass the chamber during July. Senator Cynthia Lummis said in June that negotiations were still covering ethics provisions, decentralized finance, and illicit finance issues. Because the legislation requires 60 votes in the Senate, Republican lawmakers will need Democratic support for the measure to advance.
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