Legislative Action on Cryptocurrency Bills Halted after Intense Debate on House Chamber's Floor
In a dramatic turn of events, the House of Representatives has successfully advanced three key cryptocurrency bills, including the CLARITY Act and the GENIUS Act, despite initial opposition from a group of hardline House Republicans. The bills, which aim to create regulatory frameworks for most other crypto assets and stablecoin issuers, respectively, were initially stalled due to the holdouts' insistence on merging the sweeping "CLARITY Act" with separate legislation banning a central bank digital currency (CBDC).
The impasse was resolved in a late-night meeting in House Speaker Mike Johnson’s office, where Republican leaders agreed to attach the CBDC ban to the must-pass Defense Authorization bill. This deal was met with approval from President Donald Trump, who expressed satisfaction with the outcome.
The GENIUS Act, a historic bill that would establish a federal framework for issuing and regulating stablecoins, then passed the House by a wide margin and is now poised for President Trump’s signature. The bill, which was previously passed by the Senate, is a significant step towards regulating the rapidly growing stablecoin market.
The initial opposition from hardline Republicans, led by Rep. Marjorie Taylor Greene (R-GA), was based on the GENIUS Act's failure to ban CBDC or maintain people's chain of custody. Greene compared the legislation to the "mark of the beast," a symbol associated with the Antichrist, in a Bible verse she posted alongside her statement. However, Greene later switched her vote to "yes," bringing other Republican holdouts with her.
The stalled vote involved the GENIUS Act, CLARITY Act, and an anti-CBDC bill. The record vote, which narrowly passed with a margin of 215-211, allowed the House to move toward final votes on several bills, including the defense spending bill.
The status of Crypto Week, during which the House intended to consider and vote on these bills, remains uncertain. Initially, Republicans had planned to begin votes on pending legislation as soon as this evening. However, the retraction of votes by the group of right-wing Republicans has left the motion in limbo.
Rep. Anna Paulina Luna (R-FL), who initially voted against the measure, stated that a meeting with President Trump assuaged her crypto-related fears. Luna, who had previously expressed concerns about the lack of a CBDC ban, later retracted her vote and supported the deal.
In summary, the three key crypto bills, including the CLARITY Act and the GENIUS Act, have advanced in the House despite earlier Republican holdouts. The holdouts were appeased by a deal to attach the CBDC ban to the must-pass Defense spending bill. The GENIUS Act, key for stablecoin regulation, passed both chambers and is poised for President Trump’s signature. President Trump supported the final deal after consultations with House leadership. The status of Crypto Week remains uncertain, as Republicans had considered beginning votes on pending legislation as soon as this evening.
- Despite initial opposition from a group of hardline House Republicans, the GENIUS Act, a historic bill aimed at establishing a federal framework for issuing and regulating stablecoins, has advanced in the House.
- The CLARITY Act and the GENIUS Act, which aim to create regulatory frameworks for most crypto assets and stablecoin issuers respectively, have been successfully advanced, thanks to a deal that attached a central bank digital currency (CBDC) ban to the must-pass Defense Authorization bill.
- The stalled vote involving the GENIUS Act, CLARITY Act, and an anti-CBDC bill was narrowly passed, allowing the House to move towards final votes on several bills, including the defense spending bill.
- The status of Crypto Week, during which the House intended to consider and vote on these bills, remains uncertain, as the retraction of votes by the group of right-wing Republicans has left the motion in limbo.
