Crypto Legislation Delayed as House Cancels Key Vote, GENIUS Act in Limbo

The U.S. House of Representatives abruptly paused progress on three major crypto bills, casting uncertainty over what was expected to be a pivotal “Crypto Week.” A procedural vote needed to advance legislation was canceled late Tuesday, according to House Majority Whip Tom Emmer’s website. The delay stems from objections by the House Freedom Caucus over perceived Senate dominance in crafting the bills.

Among the key bills is the GENIUS Act, which seeks to establish clear regulations for stablecoins. Despite strong bipartisan support and a scheduled vote for Wednesday on the Digital Asset Markets Clarity Act, the delay has raised concerns in both the political and crypto communities.

TD Cowen policy analyst Jaret Seiberg noted that another vote on the rule could happen Wednesday. He emphasized that if it doesn’t, the legislation may be pushed to next week. Former President Donald Trump urged Republicans to support the GENIUS Act, stating it would strengthen U.S. leadership in digital assets.

The delay triggered short-term volatility in crypto markets. Bitcoin and Ethereum dipped by 0.5% but quickly recovered. Stablecoin issuer Circle, however, dropped nearly 5% on the day, though it remains significantly up since its recent IPO.

While such procedural setbacks are not uncommon, they have intensified the spotlight on crypto regulation. Lawmakers are navigating complex party dynamics, with both Republicans and Democrats raising concerns at different stages of the legislative process.

Despite the holdup, analysts expect the GENIUS Act to pass, given Trump’s endorsement and overall congressional support. As regulatory clarity becomes a critical need for the growing digital asset sector, all eyes remain on whether the House can regroup and push the bills forward this week.