Stablecoin Bill Collapse Signals Rough Summer Ahead for Crypto

The crypto market braces for turbulence as the stablecoin regulatory bill collapses in Congress—just in time for peak volatility season.

Lawmakers punt on clarity, leaving stablecoins in limbo. Market reacts with predictable panic: BTC dips 5%, altcoins bleed harder.

Behind the scenes: Lobbyists blame ’partisan gridlock,’ but insiders whisper this was always a Hail Mary play. ’They waited until institutions loaded up on stables to pull the rug,’ quips one hedge fund manager.

Silver lining? DeFi protocols already bypassing fiat-backed nonsense with crypto-native alternatives. The revolution won’t be regulated.

Closing thought: When DC fails, code prevails. Just don’t check your portfolio until September.

The bill had been pitched as a broad win—offering dollar stability, regulatory clarity, and new financial infrastructure. Instead, it’s now caught in the same partisan gridlock threatening broader crypto market reforms. Efforts to merge stablecoin rules with market structure legislation, Hougan argues, may only complicate chances of success.

Meanwhile, House Democrats are reportedly planning to boycott a key hearing on crypto frameworks, further dimming prospects for progress. Yet despite the tension, Hougan maintains that the stablecoin issue isn’t going away. The benefits, he says, are too big to ignore.

If lawmakers can’t act soon, the sector may enter a rough patch. But if even modest legislation clears Congress, Hougan believes it could reignite a powerful bull run.