A Republican rebellion in the House stalls key cryptocurrency legislation, throwing President Trump’s digital finance ambitions into disarray and halting “crypto week” on Capitol Hill.
Surprise GOP Revolt Halts Momentum on Crypto Legislation
WASHINGTON — A trio of high-profile cryptocurrency bills expected to cruise through the House of Representatives this week hit an unexpected roadblock Tuesday, as a group of Republican lawmakers sided with Democrats to block the measures from advancing.
The dramatic procedural impasse effectively derailed what had been branded as “crypto week” in the House, a coordinated legislative push championed by President Donald Trump to secure America’s dominance in digital finance.
Thirteen Republicans joined all Democrats in voting against a key procedural motion required to bring the bills to the floor for debate and final passage.
Crypto Week Stalls Amid Internal Republican Divide
The setback comes as a surprise to House leadership and signals internal GOP fractures over how to regulate the fast-evolving cryptocurrency industry. Trump had strongly urged Republican lawmakers to unite behind the bills, framing the legislation as essential to his broader goal of making the United States the “crypto capital of the world.”
Included in the blocked package is a Senate-approved measure designed to establish a regulatory framework for stablecoins—digital tokens pegged to the U.S. dollar and backed by tangible assets. The bill has been viewed as a cornerstone of broader crypto market reform, aimed at increasing public trust in digital assets.
Also caught in the crossfire are two other significant pieces of legislation: a sweeping proposal to revamp the structure of the cryptocurrency market and a controversial measure that would ban the Federal Reserve from creating its own central bank digital currency (CBDC).
Uncertainty Clouds Future of U.S. Crypto Regulation
The failed vote now raises questions about whether the House can resuscitate the legislation before Congress adjourns for its summer recess. The setback is particularly damaging for Trump, who has increasingly tied his political and economic agenda to the digital currency sector.
Republicans have generally positioned themselves as allies of the crypto industry, which has responded with generous campaign contributions and vocal support. Yet the surprising GOP defection underscores persistent ideological divisions within the party over government involvement in emerging technologies.
The Democratic opposition to the bills has been consistent, citing concerns about consumer protection, financial stability, and the possibility of encouraging speculative bubbles in unregulated markets.
Crypto Advocates Left in Limbo as Legislation Stalls
The delay in passing any of the three major crypto bills marks a significant moment in the ongoing battle over digital currency regulation. While the Senate’s bipartisan support had raised hopes for swift progress, the unexpected Republican revolt in the House leaves the future of federal crypto policy in limbo.
For now, “crypto week” ends not with a bang but a pause, as lawmakers regroup and reassess the political path forward in an increasingly divided Congress.
