Bitcoin News Today: House Passes Three Major Cryptocurrency Bills in Bipartisan Vote

The U.S. House of Representatives passed three significant cryptocurrency bills on Thursday, marking a historic moment in the regulation of digital assets. The bills, which include the GENIUS Act, the CLARITY Act, and the Anti-Central Bank Digital Currency Surveillance State Act, were passed in a bipartisan vote of 308 to 122, with 206 Republicans and 102 Democrats supporting the measures. The GENIUS Act, in particular, establishes a regulatory framework for the stablecoin market, which is tied to the value of assets like the U.S. dollar.

The passage of these bills was not without drama. Earlier in the week, a dozen conservative Republicans stalled the procedural vote, leading to a standstill on the House floor. This rebellion was resolved after the holdouts met with President Trump, who announced that they had agreed to fall in line. However, the drama continued during Wednesday's procedural vote, with a few holdouts initially voting against moving forward before dropping their opposition. The next procedural vote was held open for nearly 10 hours as the holdouts sought to merge a broader market structure bill with legislation to ban a central bank digital currency.

House Republicans had originally wanted the GENIUS Act to be married with the CLARITY Act, a broader bill that would set rules for when a digital asset is considered a commodity or security. Combining the crypto bills would have sent the legislation back to the Senate and slowed the process. President Trump had pressed Congress to quickly pass the GENIUS Act as a standalone bill, saying it would make the U.S. a leader in digital assets.

Conservatives pushed to tie the CLARITY Act with the controversial Anti-Central Bank Digital Currency Surveillance State Act, which would prohibit the Federal Reserve from issuing a central bank digital currency. They argued that the Senate's stablecoin bill and the broader market structure legislation were insufficient because it would allow for a central bank digital currency, which they opposed. A deal was ultimately made late Wednesday to tie the ban on a central bank digital currency with the must-pass annual defense reauthorization bill, and holdouts again flipped their votes to allow the legislative process to move on.

The Senate had approved the bipartisan stablecoin bill last month after experiencing hiccups caused by a Democratic revolt over concerns about the Trump family's business ventures involving crypto and the potential that they could make the president vulnerable to foreign influence. The Trump family's crypto investments have increased their wealth by billions of dollars in recent months as the administration continues to loosen the federal government's regulatory approach to the digital currency industry as a whole. The White House has denied that there are any conflicts of interest and said Mr. Trump's assets are in a trust managed by his children.

Democratic critics were also worried that the legislation did not contain strong enough provisions to protect consumers, the financial system, and national security. It's faced similar criticism from House Democrats. "By passing this bill, Congress will be telling the world that Congress is OK with corruption, OK with foreign companies buying influence," Rep. Maxine Waters of California, the top Democrat on the House Financial Services Committee, said Thursday. Democrats who back the legislation have argued that regulations are long overdue, even if the measure is imperfect. "The question is, do you want some rules of the road or no rules of the road?" Democratic Rep. Josh Gottheimer of New Jersey said during floor debate.

The broader market structure bill also passed with bipartisan support and now heads to the Senate. The legislation banning a central bank digital currency was approved largely along party lines. The passage of these bills is a significant step forward in the regulation of the cryptocurrency industry, which has long been criticized for its lack of oversight and potential for misuse. The bills now head to the Senate for further consideration, and if passed, will be sent to President Trump for his signature.

These bills provide clearer legal frameworks for digital assets, potentially stabilizing the market and increasing investor confidence. The immediate effect is a potential boost in regulatory certainty for Bitcoin and stablecoins. The GENIUS Act, specifically, is designed to regulate stablecoins, potentially boosting institutional interest. The CLARITY Act creates a legislative framework for companies to issue cryptocurrencies and trade digital assets, whether a commodity or a security. Financial implications include potential market stabilization and growth in investment in compliant digital assets. The broader legislative agenda suggests a shift toward more structured regulation of cryptocurrencies in the U.S. Previous regulatory developments often correlated with bullish trends in Bitcoin and Ethereum prices. This legislative clarity might similarly foster growth, enhancing decentralization and supporting Bitcoin’s monetary status.