U.S. House Faces Hurdles in Advancing Crypto Bills, Amid Dissent

On July 16, the U.S. House of Representatives did not pass a procedural vote on cryptocurrency-related bills, following internal party disagreements.

The failed vote highlights ongoing challenges in achieving legislative harmony on cryptocurrency measures, affecting assets like Bitcoin and Ethereum as regulatory clarity remains elusive.

Internal GOP Rift Halts Crypto Bill Progress

The U.S. House’s inability to advance crypto-related bills stems from internal GOP discord. Speaker Mike Johnson and President Trump have been pressing for these bills’ passage, but a faction within their party resisted due to CBDC concerns. This dynamic led to the procedural vote’s failure by a margin of 196-223. Speaker Johnson stated, “We’re still having conversations, answering questions from people” in response to the failed vote, and “Hope to try again for a procedural vote on the cryptocurrency bill in the House of Representatives on Wednesday.”

The impact of this legislative impasse reverberated through the cryptocurrency markets, causing temporary volatility. Major assets such as Bitcoin and Ethereum, alongside stablecoins, were heavily scrutinized as they awaited clarity on the GENIUS Act and related legislative proposals. Critically, the Anti-CBDC Stance within the GOP emerged as a dominant factor driving the dissent.

Market reactions ranged from short-lived market turbulence to expressions of discontent from both regulators and cryptocurrency developers. Key players like Representative Chip Roy emphasized, “They have this stuff in the rule that we had some concerns with, like putting the bill on the floor the Senate version of the GENIUS Act that we think leaves some room for some concern with respect to the central bank digital currency and that there not be a hard ban on that…” President Donald Trump reportedly expressed dismay over the lack of unity among Republican members.

Market Uncertainty Amid Legislative Gridlock

Did you know? Crypto assets like Bitcoin and Ethereum have previously experienced market shifts amidst U.S. regulatory delays, often resulting in temporary sell-offs as stakeholders anticipate legislative decisions.

Bitcoin, priced at $117,679.85, remains the focus with a market cap of $2.34 trillion and a 24-hour volume of $98.28 billion. It holds 62.94% market dominance, highlighting its significance. Recent fluctuations include a 1.89% dip in 24 hours and a 39.87% rise over 90 days, as per CoinMarketCap data.

The Coincu research team notes that ongoing legislative gridlock delays potential regulatory frameworks, posing risks for asset valuations and institutional support. The emphasis on CBDC regulation indicates broader implications for financial tech, with Congress urging amendments to current proposals.