The post US House to Vote on Overturning Biden’s Veto of SEC’s SAB 121 Rule on Digital Assets appeared on BitcoinEthereumNews.com.

The US House of Representatives could be set to vote on overturning a significant veto by President Joe Biden this week. This development pertains to a bill challenging the SEC’s Staff Accounting Bulletin (SAB) 121, a widely debated rule affecting the accounting treatment of digital assets. The bill has continued to attract attention due to its potential impact on regulatory safeguards and investor protections. President Biden’s controversial veto on a bill to reverse the SEC’s SAB 121 faces a potential override, sparking widespread debate in the crypto and financial communities. House of Representatives Poised to Vote on Overturning Biden’s Veto This week, the U.S. House of Representatives may vote on a critical issue aimed at overturning President Joe Biden’s veto of a bill that counters the U.S. Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin (SAB) 121. SAB 121 mandates that certain companies classify digital assets as liabilities on their balance sheets, a practice that has raised considerable concern within the financial and crypto sectors. Potential Implications of Overturning SAB 121 House Majority Leader Steve Scalise announced that the House’s schedule includes a possible vote to overturn the veto on the bill aimed at revoking SAB 121. The legislation, if passed, would prevent the SEC from enforcing this contentious guideline that requires companies to label any held digital assets for customers as liabilities. Experts argue that this rule places undue burden on companies, influencing their financial disclosures and potentially stifling innovation within the cryptocurrency industry. SEC’s Role and Rationale Behind SAB 121 The SEC introduced SAB 121 in March 2022, asserting that it was a necessary measure to enhance transparency and safeguard investors. President Biden defended his veto, emphasizing that eliminating such guidance could undermine the SEC’s broader regulatory framework. According to Biden, reversing SAB 121 would compromise the SEC’s…

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Filed under: News - @ July 7, 2024 8:20 pm