Stalemate Continues as House Delays Vote on CBDC Ban

House Republicans were unsuccessful Tuesday in a vote that would have prepared the ground for discussion on the GENIUS Act and several cryptocurrency bills. The motion was defeated 196–222. This setback halted plans to establish the first federal framework for stablecoins and obstructed a corresponding crypto clarity proposal linked to the annual defense funding bill.

As the situation unfolded, however, markets responded. Circle’s shares dropped nearly 5%. Coinbase and MARA Holdings each experienced a decline of approximately 2%.

Significant Divide Among Republicans

As per the roll call, over a dozen Republicans joined all Democrats to oppose the measure. Some legislators claimed they were left out of discussions on amendments.

Others desired a more robust position against central bank digital currencies. Representative Marjorie Taylor Greene expressed her dissatisfaction on X, asserting she could not endorse a bill that did not prohibit CBDCs. She also chastised Speaker Mike Johnson for stifling dialogue.

Major Senate Endorsement Meets House Resistance

According to reports, the GENIUS Act had earlier secured Senate approval with a 68–30 vote on June 17, 2025. Senators from both parties supported it as a means to bring stablecoins under US oversight.

However, House conservatives contended that the proposal should incorporate language to prevent the Federal Reserve from launching its own digital currency. This division left leadership scrambling to garner sufficient votes to proceed.

Bundling Provokes Backlash

House leaders attempted to merge the crypto initiatives with the defense appropriations bill. They anticipated that combining a high-profile spending bill with the GENIUS Act would facilitate the process.

Rep. Greene and others stated that the bill must adopt Trump’s January prohibition on CBDCs in federal agencies. Image: AP.

Nonetheless, critics from both factions raised objections. Defense proponents claimed their funding strategy warranted a separate debate. Crypto advocates demanded further alterations. The assembly never got the opportunity to reach the floor.

Pro-Crypto Position

Meanwhile, industry organizations have invested at least $245 million in the 2024 election cycle to advocate pro‑crypto policies. Fairshake, a crypto political action committee, currently retains $141 million in reserves for future lobbying actions ahead of the 2026 midterms.

Treasury Secretary Scott Bessent has indicated that US stablecoins may expand to over $2 trillion if a federal framework is established. Additionally, US President Donald Trump’s January executive order had requested a CBDC ban across all federal agencies. Those substantial figures emphasize what’s at stake for an industry seeking transparent regulations.

Featured image from SocialStudiesHelp.com, chart from TradingView

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