Storm clouds hover over the U.S. Capitol on July 1, 2025 in Washington, DC.
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Several cryptocurrency regulation bills backed by President Donald Trump on Tuesday failed to clear a key procedural hurdle in the House of Representatives, dealing a major blow to the crypto industry.
The final vote on the rule was 196-223, with 13 Republicans voting with Democrats to block the procedural motion. The measure cannot move forward until the House approves the rule, which governs debate for legislation.
The vote, during what is being billed as “Crypto Week,” was a rare instance of House Republicans refusing to take direction from Trump. The measures had been widely expected to pass.
House leadership tentatively plans to hold another vote later Tuesday to try to advance the legislation.
It was unclear whether the second vote would be for an identical rule and the same bills, or whether House Republican leaders would make changes to the package to satisfy GOP caucus members who opposed the motion.
Crypto-linked stocks turned lower after the vote failed.
Shares of the stablecoin company Circle dropped more than 7% on the news, while Coinbase fell more than 4%. Shares of the digital asset firm MARA Holdings dipped more than 2%.
One of the three bills in limbo after the failed vote is the GENIUS Act, which passed the Senate last month with some Democratic support. The GENIUS Act seeks to regulate stablecoins.
Another bill, the CLARITY Act, would establish rules for whether an asset is regulated as a security by the Securities and Exchange Commission or as a commodity overseen by the Commodity Futures Trading Commission.
The third proposal would prevent the Federal Reserve from creating a central bank digital currency.
Rep. Marjorie Taylor Greene, R-Ga., one of the Republicans who opposed the measure, wrote in a post on, “I just voted NO on the Rule for the GENIUS Act because it does not include a ban on Central Bank Digital Currency and because Speaker Johnson did not allow us to submit amendments to the GENIUS Act.”
“President Trump included a ban on CBDC in his January 23rd executive order and Congress must also include the ban on CBDC in the GENIUS Act,” Greene wrote.
Trump had hailed “Crypto Week” during a post on his Truth Social earlier Tuesday and urged all House Republicans to vote “yes” on the measure.
“The House will soon VOTE on a tremendous Bill to Make America the UNDISPUTED, NUMBER ONE LEADER in Digital Assets – Nobody does it better!” Trump wrote.
“The GENIUS Act is going to put our Great Nation lightyears ahead of China, Europe, and all others, who are trying endlessly to catch up, but they just can’t do it,” he wrote.
“Digital Assets are the FUTURE, and we are leading by a lot! Get the first Vote done this afternoon (ALL REPUBLICANS SHOULD VOTE YES!),” Trump continued.
— CNBC’s Emily Wilkins contributed reporting
