On July 15, House Republicans failed to advance a key procedural motion, stalling the discussion of the GENIUS Act and other major crypto bills. This setback was significant for the digital asset industry.
Failed Vote: GENIUS Act
The vote, which ended with a count of 196–222, prevented the House from formally considering the GENIUS Act, a bill aimed at establishing the first federal framework for U.S. stablecoins. The failed vote also hindered discussions on the annual defense spending bill.
Internal Republican Fractures
While the crypto industry hoped for a successful passage of legislation, internal conflicts among Republicans derailed the plan. Notably, Rep. Marjorie Taylor Greene criticized the GENIUS Act for lacking a provision to ban central bank digital currencies (CBDCs). She stated, "I just voted NO on the Rule for the GENIUS Act because it does not include a ban on Central Bank Digital Currency."
Market Reactions to Vote Failure
News of the failed vote quickly rippled across financial markets. Shares of Circle, the issuer of USDC, fell by nearly 5%, while Coinbase and MARA Holdings each dropped by about 2%. Industry advocates framed this week as a pivotal moment for crypto's future in Washington.
The failure of the GENIUS Act underscores the complex political realities that lawmakers face in crypto regulation. The path forward for this key legislation remains uncertain.
