Important Cryptocurrency Events in Washington, D.C.
There are three major events that will unfold in Washington, D.C., next week. These events are significant to the crypto industry in the U.S. Let’s take a look at them in detail:
Biden’s Potential Veto of the SAB 121 Repeal 🛑
The Senate recently passed H.J. Res. 109, a resolution aimed at overturning the SEC’s Staff Accounting Bulletin No. 121, which limits financial institutions from acting as custodians for digital assets.
- Despite bipartisan support in the Senate, with a 60-38 vote in favor of the Bill, President Biden has threatened to veto the resolution if it reaches his desk.
- Biden’s decision, influenced by Senator Warren and SEC’s Gensler, could have a significant impact on the SEC’s regulations on the crypto industry.
“SAB 121 is a rule under the Administrative Procedure Act, disguised as accounting guidance,” said Senator Cynthia Lummis, a key supporter of the bill.
Proponents argue that overturning the rule would reduce centralization risks and allow regulated financial firms to handle digital asset custody effectively.
SEC’s Decision on Ethereum ETF 📊
The SEC is set to decide on VanEck’s spot Ethereum ETF application by Thursday. There is speculation that SEC Chair Gary Gensler may reject the application, despite mounting political pressure.
“I would be astonished if the SEC said yes at this point,” expressed VanEck CEO Jan van Eck, citing the lack of correspondence from the SEC.
House Vote on the FIT21 Bill 💼
The Financial Innovation and Technology for the 21st Century Act (FIT21) is up for a House vote later in the week. This legislation aims to clarify the regulatory responsibilities of the SEC and CFTC regarding digital assets, garnering support from the pro-crypto faction in Congress.
- A letter from the Crypto Council for Innovation, signed by companies like Coinbase and Circle, has urged lawmakers to support the bill’s passage for regulatory clarity and consumer protection.
“Regulatory clarity is indisputably more responsible, safer for consumers, and preferable to the status quo,” stated the CCI.
Hot Take 🔥
All eyes will be on Washington, D.C., next week, as decisions from President Biden, the SEC, and the House of Representatives will shape the regulatory landscape for the crypto industry in the U.S. Stay informed and watch out for updates on these crucial events!
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