Crypto Bills Blocked in House Setback for US Legislation

The House of Representatives in the U.S. recently faced a setback in its efforts to advance significant cryptocurrency legislation. On July 15, a procedural vote was blocked, preventing the formal consideration and discussion of three key crypto bills: the GENIUS Act, the CLARITY Act, and the Anti-CBDC Surveillance State Act. These bills were part of what Republican lawmakers had dubbed “Crypto Week,” aimed at establishing guidelines for stablecoins, clarifying the regulatory status of digital tokens, and prohibiting the creation of a central bank digital currency (CBDC).

The initiative faltered when several conservative Republicans, along with Democrats, opposed the way the legislation was presented. Representative Marjorie Taylor Greene (R-GA) voiced her concerns on the social media platform X, stating that she voted against the rule for the GENIUS Act because it did not include a ban on a central bank digital currency and because Speaker Mike Johnson did not allow amendments to be submitted to the bill. Despite the opposition, the GENIUS Act does contain language that explicitly prohibits the Federal Reserve from creating a retail CBDC, effectively ruling out its implementation.

Speaker Mike Johnson (R-LA) acknowledged the setback but indicated his intention to continue discussions with members and bring the package back for a vote soon. The market reaction to the blocked vote was immediate, with shares of Circle Internet Group and Coinbase Global experiencing temporary drops before recovering. The anticipation for these bills had been building, with President Donald Trump urging support on his social media platform, Truth Social, ahead of the vote. Trump emphasized the importance of the GENIUS Act in positioning the U.S. as the global leader in digital assets, stating that it would put the nation "lightyears ahead of China, Europe, and all others."

Senator Bill Hagerty highlighted the significance of the bills, describing the GENIUS Act as landmark bipartisan legislation to regulate stablecoins and the Anti-CBDC measure as crucial to preventing government surveillance. He stressed the Senate's commitment to passing a digital asset framework aligned with American values. Despite the legislative roadblock, digital asset advocates remain optimistic that the Senate's momentum and growing institutional interest will drive the eventual passage of a national crypto framework. The Federal Reserve has not indicated plans to issue a CBDC, but lawmakers continue to raise concerns about privacy and control, underscoring the urgency and visibility of the policy debate.