Regulation
Joe Biden’s veto of cryptocurrency bill delays House vote
In what may come as a shock to many, the U.S. House of Representatives has delayed its vote on HJ 109, which seeks to overturn President Joe Biden The vote, originally scheduled for 10:30 a.m. on Thursday, July 11, was postponed due to an urgent and unscheduled debate on another issue, Fox reporter and producer Eleanor Terrett reported.
The abrupt change follows a letter from President Biden — its details remain confidential but appear to have influenced the House’s schedule.
The key issue
HJ 109 seeks to override a veto of Staff Accounting Bulletin 121 (SAB 121), a 2022 SEC rule requiring companies that hold cryptocurrencies for their customers to record those assets as liabilities on their balance sheets. Despite bipartisan efforts to override the veto, Congress has yet to obtain the necessary votes.
This resolution aims to clarify the regulations governing cryptocurrencies and other digital assets.
What happens if the vote fails?
According to Terrett, if the vote If HJ 109 fails, House leaders will pursue a new bill through the regular legislative process to achieve the same goals as the resolution, bypassing the Congressional Review Act (CRA).
However, the Financial Innovation and Technology for the 21st Century Act, signed into law in May, seeks to better define the regulatory roles of U.S. commodities and securities entities in the crypto space, further complicating the legislative landscape.
Election Year Dynamics
As the 2024 U.S. election approaches, both President Biden and Republican candidate Donald Trump are increasing their focus on digital asset issues, potentially signaling a shift toward more favorable policies for the cryptocurrency industry.
To pass, the House would need about 60 more votes than the 228 it previously received. The upcoming vote will be a crucial test of bipartisan support for the Financial Innovation and Technology for the 21st Century bill.
For those interested in following the developments, Terrett shared a link to the live stream of the House vote on HJ 109, which can be accessed here: here.
The postponement of the vote is just the beginning. Follow closely how the fight over cryptocurrency regulation unfolds.