Crypto Week Stalls: US House Halts Procedural Vote on Landmark Stablecoin Bills

The US House of Representatives abruptly cancelled a planned vote on Tuesday to advance three crypto related bills, including the GENIUS and Clarity Acts, as well as the fiscal 2026 Defense spending measure. The House voted 196–223 against a procedural rule governing debate on the bills and the House Press Gallery website confirmed that no further votes would take place that day, contradicting earlier expectations of a 5pm re-vote.

The failed vote was triggered by internal Republican dissent, particularly from House Freedom Caucus members who opposed the GENIUS Act, despite it already passing the Senate. The legislation would enforce strict stablecoin regulations, requiring reserves in US dollars or highly liquid assets and introducing audits for large issuers exceeding US$50 billion (AU$76.7 billion) in value. 

This vote was intended as part of “Crypto Week,” a Republican-led initiative to pass major digital asset legislation in rapid succession.

Conservative lawmakers, including Representative Marjorie Taylor Greene, opposed the bill as it did not reflect President Trump’s executive order calling for a ban on CBDCs. Speaker Mike Johnson’s refusal to allow amendments contributed to the rebellion, which effectively sidelined progress on the broader crypto legislative agenda.

People, including the House Freedom Caucus, believe that central bank digital currency – we have to put a stake in its heart once and for all, and the action under that rule wouldn’t have done it.

Andy Harris, House Freedom Caucus Chair

Related: BoE’s Andrew Bailey Hits the Brakes on Bank-Issued Stablecoins, Bets on Tokenised Deposits

Next Steps for Regulatory Framework in Doubt

The Clarity Act was designed to overhaul the US crypto regulatory landscape, delineating responsibilities between the SEC and CFTC and enforcing transparency requirements for digital asset firms. Although the bill has support from both parties, Senate leaders are reportedly considering drafting their own version, potentially diverging on critical points like the maturity test for decentralisation.

Industry representatives have voiced concerns over provisions in the Clarity Act, particularly those that may disadvantage decentralised finance platforms and limit self-custody rights. While some lobbyists see it as a step forward, they are pushing for clearer language and broader exemptions before the Senate takes action.

The cancellation also stalled a US$9.4 billion (AU$14.4 billion) clawback provision tied to the fiscal 2026 Defense appropriations bill, which was bundled into the same House procedural rule governing all four bills. 

This clawback request, backed by the Trump administration, must pass Congress by Friday to remain valid. With the crypto legislation and defence funding now paused, lawmakers remain in closed-door talks to reach a resolution. However, no new vote date has been confirmed.

Related: RBA Kicks Off Phase Two of Project Acacia with Wholesale CBDC and Tokenisation Trial