U.S. House Recess Stalls Key Crypto Legislation Until September 8 Amid Epstein Amendment Dispute

The U.S. House of Representatives’ early adjournment for August recess, announced by Speaker Mike Johnson on July 24, has delayed key cryptocurrency-related legislative efforts until at least September 8, effectively halting floor activity during the break. The decision followed escalating tensions over an amendment tied to the release of files related to the late financier Jeffrey Epstein. The amendment, proposed by Rep. Ro Khanna and attached to the stablecoin-focused GENIUS Act, aimed to mandate the Justice Department to disclose Epstein-related documents within 30 days. After a narrow 6–5 vote rejection by the House Rules Committee and subsequent Democratic threats of procedural delays, Johnson concluded the session a week early, prioritizing the recess over further debate [1].

The recess impacts several crypto policy initiatives, though bills already passed by the House remain unaffected. The GENIUS Act, which received Senate approval and President Donald Trump’s signature, and the CLARITY Act, which clarifies regulatory jurisdiction between the SEC and CFTC, now await Senate action. Similarly, the Anti-CBDC Act, which seeks to block the Federal Reserve from issuing a central bank digital currency, is pending in the Senate [1].

Tax-related cryptocurrency legislation, however, faces a significant delay. Discussions held on July 16 by the House Ways and Means Oversight Subcommittee highlighted the need for reforms, including a de minimis exemption for small transactions, clearer staking reward guidelines, and revised wash-sale rules. Lawmakers had expressed intentions to draft a bill "in the near future," but the recess has postponed such efforts until after September 8 [1].

Another stalled initiative is the Veterans Affairs Distributed Ledger Innovation Act of 2025 (H.R. 3455), introduced by Rep. Nancy Mace. The bill, which passed a subcommittee hearing in June, mandates the Department of Veterans Affairs to study blockchain technology’s potential to enhance claims processing transparency and fraud prevention. While the proposal includes requirements for immutable records and pilot programs, its progress is frozen until the House reconvenes [1].

The recess also affects broader legislative momentum. While lobbying and committee staff work may continue, no new floor votes are scheduled until September. This pause raises questions about the timeline for passing remaining crypto bills, though Johnson emphasized that measures already approved will proceed through the Senate and executive branches. The focus on Epstein-related procedural disputes underscores the challenges of advancing complex legislation amid political divisions, with implications for both regulatory clarity and industry confidence [1].

Source: [1] [House recess over Epstein standoff stalls crypto policy push until September] [https://cryptoslate.com/house-recess-over-epstein-standoff-stalls-crypto-policy-push-until-september/].