House Ignites ’Crypto Week’ with Landmark Bills—But Don’t Hold Your Breath for Overnight Changes
Washington finally wakes up to crypto—sort of.
Lawmakers made headlines this week pushing through two major digital asset bills, signaling rare bipartisan momentum. The FIT21 Act (Financial Innovation and Technology for the 21st Century) and CBDC Anti-Surveillance State Act cleared the House with unexpected ease—though anyone expecting regulatory clarity by lunchtime hasn’t met Congress.
Key takeaways:
- FIT21 carves out new CFTC oversight for commodities-like tokens while keeping securities under SEC purview (because why simplify things?)
- The CBDC bill blocks Fed from issuing a digital dollar directly to consumers—a win for privacy hawks and a headache for central bank evangelists
Market reaction? A collective shrug from Bitcoin traders already focused on the next halving cycle. Because when has regulatory progress ever moved crypto prices? (Answer: When it triggers FOMO from hedge funds playing catch-up.)
Reality check: These bills now face Senate scrutiny and potential White House veto threats. Translation: 'Major' legislation could mean 'minor' changes—at least until the next election cycle reprices everyone’s priorities.
Final thought: If you think DC moves at blockchain speed, we’ve got a Terra Classic revival to sell you.
Three Key Crypto Bills Passed
The three bills—the Genius Act, the Digital Asset Market Clarity Act, and the Anti-CBDC Surveillance State Act—are seen as crucial steps toward establishing a regulatory framework for cryptocurrencies.
This development has been fueled by intense lobbying efforts from industry players like Coinbase Global, which have successfully influenced politicians, including Trump.
In anticipation of this legislative week, Bitcoin prices soared to record highs beyond the $123,000 mark for the first time, alongside significant gains for other cryptocurrencies like ethereum (ETH) and XRP. However, TD Securities analyst Jaret Seiberg notes that it could take over a year for the new legislation to come into effect.
Among the passed bills, only the Genius Act has also cleared the Senate, and TRUMP signed it into law shortly thereafter. This act establishes a framework for regulating payment stablecoins requiring issuers to maintain one-to-one reserves in US dollars or Treasury securities.
Treasury Secretary Scott Bessent has argued that this law could generate an additional $3.7 trillion demand for T-bills, although some analysts, like Raymond James’ Ed Mills, express skepticism about such projections.
Implementation Timeline Remains Uncertain
Despite the signing of the Genius Act, there will be no immediate impacts on stablecoin issuers such as Circle Internet Group or Tether.
As reported by ABC news, the Treasury Department is expected to draft rules within a year detailing the qualifications for issuing stablecoins and the conditions under which foreign-pegged stablecoins can enter the US market. This process will involve public commentary and could lead to litigation, suggesting a lengthy timeline before any real changes are felt in the industry.
The Digital Asset Market Clarity Act, on the other hand, is particularly important as it delineates the regulatory oversight of crypto exchanges, brokers, and tokens between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC).
With bipartisan support in the House, there is Optimism that the Senate will pass its version before the upcoming August recess, potentially delivering a unified law for the president’s signature by September.
The Anti-CBDC Surveillance State Act, the third piece of legislation, aims to prevent the Federal Reserve from issuing a central bank digital currency (CBDC). This bill, which passed with narrower margins, was attached to a national defense bill, and its future in the Senate will likely involve protracted negotiations, possibly extending until December.
Featured image from DALL-E, chart from TradingView.com
