KEY HIGHLIGHTS
• Tuesday’s setback: House Republican blocked the Genius Act due to issues related to procedural and CBDC, resulting in a 196-223 procedural vote loss.
• Trump’s intervention: A late Oval Office meeting flipped the holdouts, sending them into agreement to back Wednesday’s vote.
• Wednesday’s pivot point: A 12:20 p.m. ET rule vote could fast-track Congress’s first major stablecoin law with major implications for crypto markets and global finance.
Crypto Week Takes Center Stage
This week has effectively become Crypto Week in Congress.
Led by Republicans and buoyed by former President Trump’s vocal support, the House is focusing on three pivotal laws the GENIUS Act, the CLARITY Act, and the Anti‑CBDC Act.
At its core, the GENIUS Act seeks to regulate stablecoins by requiring full backing with liquid assets, monthly reserve disclosures, annual audits for large issuers, and more structured issuance rules including limits on foreign-based issuance.
In the Senate, this bill already passed on June 17 by a bipartisan 68–30 margin.
Accordingly, the hope was high that the House would swiftly follow. However, as of Tuesday, that momentum faltered.
Tuesday’s Procedural Setback
Despite all the buzz, a key procedural vote unexpectedly stalled on Tuesday.
In a surprising turn, 13 Republicans crossed party lines and joined Democrats to oppose advancing all three bills arguing they should be considered individually and demanding a stronger ban on central bank digital currencies (CBDCs).
The vote failed 196–223, halting what leaders intended to be a fast process.
Rep. Marjorie Taylor Greene, one of the moderates in opposition, explained:
Speaker Johnson did not permit us to offer modifications, so I voted against the GENIUS Act’s rule because it does not forbid the usage of digital currency issued by central banks.
At the same time, Democrats voiced alarm over potential gaps in consumer protections and possible conflicts of interest particularly given ties between the Trump family and crypto firm World Liberty Financial.
Trump Fires Back And Reigns It In
Just hours after the procedural defeat, Trump acted. He gathered 11 of the 12 Republicans who opposed the vote in the Oval Office, along with Speaker Mike Johnson (who joined virtually).
Following that meeting, Trump announced they had agreed to swing behind advancing the GENIUS Act on Wednesday.
Speaker Johnson echoed Trump’s optimism:
I really appreciate President Trump stepping in… we could get the GENIUS Act passed as soon as tomorrow, and there’s more crypto legislation on the horizon in the next few days.
With that turnaround, plan B became plan A once again and the House is back on track.
What’s Ahead on Wednesday
Now, the spotlight is on Wednesday at 12:20 p.m. ET, when the House is set to vote on a rules package that would clear the way for debate and final passage of the GENIUS Act .
If they can get past that procedural hurdle, lawmakers are looking to have a debate and a vote all within the same session.
Once the House gives its approval, the bill will swiftly make its way to Trump’s desk.
The former president is signaling that he aims to sign it by August, emphasizing the strategic importance of the law in cementing U.S. stability in the digital-asset space.
Why the GENIUS Act Matters
If it were successful, the GENIUS Act would be the first all-inclusive stablecoin framework.
It aims to boost American interests in global banking, promote ethical innovation, and bolster consumer confidence especially in light of the growing need for digital payments.
Supporters argue the legislation offers clarity and prevents runaway instability, ensuring issuers maintain adequate reserves and undergo frequent audits .
They also highlight how it extends beyond stablecoins, including provisions to clarify whether cryptocurrencies are subject to SEC or CFTC oversight.
Still, critics caution that it might empower the industry too strongly without enough consumer safeguards. As Rep. Maxine Waters put it:
“Pro‑industry crypto bills could financially ruin millions… weak consumer protections… legitimizing… crypto corruption by the president.”
Market Ripples and Public Perception
Bitcoin has recently increased the last $ 120,000, the investor’s attention is fully focused on the “Crypto Week”.
Nevertheless when Tuesday’s vote failed, the markets reacted:
Bitcoin drown, and crypto-unseen firms like Circle, Coinbase and Microsterty fell anywhere from 3% to 7%.
Therefore, Wednesday’s success cannot only affect the law, but can also promote digital-asset markets and affect institutional behavior.
On the other hand, another hiccup may reaffirm concerns around policy unpredictability.