This week, the US House of Representatives failed to advance two significant crypto bills — the **GENIUS Act** and the **CLARITY Act**. The primary issue was concerns from several Republican lawmakers regarding central bank digital currencies (CBDCs).
Reasons for the Halt of Crypto Bills
CBDCs are government-issued digital versions of money. Some GOP members view them as a threat to privacy and financial freedom. They are worried that the federal government might use a digital dollar to monitor or control personal transactions.
Prospects for Discussion with Trump
Despite the failed vote, former President Donald Trump stated that the crypto bills could get another chance. He hinted at renewed efforts following discussions in the Oval Office. While Trump is not currently in office, his comment highlights his increasing involvement in shaping the GOP's stance on crypto regulation.
Republican Party's Stance on CBDC
The main demand from Republicans is clear: they want strong, direct language banning or restricting the development of a US digital dollar. Many are unwilling to support the legislation without it. The division within the party reflects a broader debate on how to promote innovation while protecting privacy. As crypto becomes a bigger political issue ahead of the 2024 election, further discussions are expected that may shape the future of US crypto laws.
The failed vote in the House highlights the existing tensions over crypto regulation and CBDCs. Ongoing discussions and conflicts among various factions could significantly impact future initiatives in crypto innovation and legislation.
