WASHINGTON – After a surprising procedural defeat on Tuesday, President Donald Trump announced that key cryptocurrency regulation bills, which had been stalled in the House of Representatives, now have the necessary votes to move forward. The unexpected turn of events followed a late-night White House meeting, underscoring President Trump’s significant influence within the Republican Party.
Initial Setback and Market Reaction
Earlier on Tuesday, what was anticipated to be “Crypto Week” in the House hit a major snag. Several cryptocurrency-related bills, strongly backed by President Trump as part of his push to make the U.S. the “crypto capital of the world,” failed to clear a crucial procedural hurdle. A final vote tally of 196 in favour and 223 against meant the bills could not advance to a full debate and vote. This unexpected outcome was due to 13 Republicans joining all Democrats in opposition to the measure.
The news sent immediate ripples through the crypto market. Shares of stablecoin company Circle dropped over 7%, while Coinbase fell more than 4%, and digital asset firm MARA Holdings dipped over 2%. The failure marked a significant blow to the crypto industry, which had high hopes for legislative wins this week.
Trump’s Intervention and Resolution
However, the situation took a dramatic turn hours later. President Trump took to Truth Social shortly before 9 p.m. ET, stating, “I am in the Oval Office with 11 of the 12 congressmen/women necessary to pass the GENIUS Act, and after a short discussion, they have all agreed to vote tomorrow morning in favour of the rule.” He also noted that House Speaker Mike Johnson participated in the meeting via telephone and was keen to proceed with the vote as early as possible. This late Tuesday flip among the holdouts highlighted President Trump’s firm grip over the Republican conference.
The Bills in Limbo and Points of Contention
Among the three key bills that were temporarily stalled is the “Guiding and Establishing National Innovation for U.S. Stablecoins Act of 2025,” or “GENIUS Act,” which seeks to regulate stablecoins and had already passed the Senate last month. Another critical piece of legislation is the “Digital Asset Market Clarity Act” (CLARITY Act), designed to establish rules for whether a digital asset is regulated as a security by the Securities and Exchange Commission (SEC) or as a commodity overseen by the Commodity Futures Trading Commission (CFTC). The third proposal aims to prevent the Federal Reserve from creating a central bank digital currency (CBDC).
One of the sticking points for some Republicans, including Representative Marjorie Taylor Greene, was the absence of a direct ban on Central Bank Digital Currency within the “GENIUS Act.” Greene specifically stated her “NO” vote on the rule was because it did not include a CBDC ban and because Speaker Johnson did not allow for amendments to the bill. This reflects a broader conservative concern about government overreach into financial privacy.
Despite the initial setback and the internal disagreements, President Trump’s direct intervention appears to have aligned enough Republican votes to advance these critical cryptocurrency regulation bills, signalling a renewed push to solidify the U.S.’s position in the global digital asset landscape.
