House Advances Three Crypto Bills After Nine-Hour Standoff

The U.S. House of Representatives took a significant step forward in regulating cryptocurrencies after a prolonged nine-hour procedural standoff on Wednesday. The House advanced three key bills: the CLARITY Act, the GENIUS Act, and the Anti-CBDC Surveillance Act, with a narrow vote of 217-212. This move came after months of debate over the controversial central bank digital currency (CBDC) ban, which was ultimately removed from the crypto bills. The bills are now being discussed as an amendment to the must-pass National Defense Authorization Act (NDAA).

Some House Republicans, including Rep. Tim Burchett, opposed the advancement of the crypto legislation because they believed the bills did not clearly bar the Federal Reserve from creating a digital dollar. Burchett released a video clarifying that negotiations did not result in the CBDC ban becoming part of the NDAA, warning that changing the crypto bills could jeopardize their progress in the Senate. Rep. Marjorie Taylor Greene also expressed her objection, stating that she could not vote for bills that would promote surveillance digital currency, highlighting long-standing concerns about financial privacy and government intrusion.

House Majority Leader Steve Scalise mentioned that the votes on the CLARITY Act and the GENIUS Act would be separated to expedite the process. House Speaker Mike Johnson acknowledged the need to adjust schedules as necessary, as the party continued to push its legislative agenda despite internal tensions. The historic vote sparked reactions from lawmakers, with some confirming the 217-212 vote to proceed with the crypto bills and others reiterating that the long vote was merely a procedural step, not the passage of the bills themselves.

The outcome of the vote sets the stage for additional legislative steps and underscores the ongoing disunity among lawmakers regarding CBDCs. The stalemate reveals the delicate balance legislators must strike between promoting crypto innovation and addressing privacy and monetary policy issues. The advancement of the crypto bills signals a potential shift in the regulatory landscape for digital assets, with broader implications for the financial sector. The progress of these measures will be closely monitored as they move through the legislative process.