Setback for Pentagon Funding and Cryptocurrency Regulation
In a significant setback for the funding of the Pentagon and the regulation of cryptocurrency, twelve Republican members of the House of Representatives blocked a crucial procedural vote on Tuesday. This parliamentary maneuver resulted in the failure of the House to initiate discussions regarding the fiscal 2026 budget for the Pentagon, alongside three proposed bills related to digital currency. The vote, as reported by The Hill, ended with 196 in favor and 223 against, stalling vital legislative initiatives that had the potential to reshape federal digital currency policy.
Proposals Halted
Among the proposals that were halted were:
- GENIUS Act: Aims to establish a regulatory framework for stablecoins.
- Digital Asset Market Clarity Act: Designed for comprehensive cryptocurrency regulation.
- Anti-CBDC Surveillance State Act: Seeks to prevent the introduction of a digital currency issued by the Federal Reserve.
Speaker of the House Mike Johnson noted that the dissenting Republicans were advocating for a unified approach, expressing a preference to combine the Clarity and Anti-CBDC bills with the Senate’s GENIUS Act into a single legislative package.
Potential for Re-Vote
In a tactical move, Majority Leader Steve Scalise reversed his vote to “no” during the proceedings, thereby leaving the door open for a potential re-vote on the issue. Speaker Johnson conveyed his commitment to engage in ongoing discussions with Senate leadership, members of the GOP conference, and White House officials to resolve the current impasse.
Calls for Urgency
Earlier the same day, former President Donald Trump had publicly urged Congress to expedite the approval of the stablecoin legislation, highlighting its urgency and importance within the financial landscape.
