The post SAB 121 Veto Showdown Set For Wednesday appeared on BitcoinEthereumNews.com.

The US House of Representatives is scheduled to vote on significant crypto legislation on Wednesday, July 10. This vote might override President Joe Biden’s veto of the Securities and Exchange Commission’s (SEC) resolution to repeal Staff Accounting Bulletin 121 (SAB 121). In June, Biden vetoed this bill. It has garnered significant attention due to its impact on the custody of Bitcoin and other crypto assets by financial institutions. The SEC issued SAB 121 in 2022, which mandates that banks holding cryptocurrency must disclose these assets as liabilities on their balance sheets. Many in the crypto industry have questioned this accounting treatment, claiming that the additional regulatory burden deters banks and other institutional actors from dealing with digital assets. D-Day For Crypto The House initially passed the resolution opposing SAB 121 in early May with a vote of 228-182, supported by 21 Democrats alongside unanimous Republican backing. President Biden vetoed the resolution anyways. This led to the scheduling of a veto override vote, which requires a two-thirds majority in both the House and Senate to pass. Ron Hammond of the Blockchain Association highlighted the unusual political dynamics at play, noting that “crypto has now found itself to be a campaign issue.” He underscored the bipartisan nature of the previous votes and pointed out the uphill battle ahead, saying, ” this effort is a tough uphill climb as only 21 Ds in May joined all the Rs in support (drastically below the 2/3 threshold needed).” Perianne Boring from the Digital Chamber added urgency to the discussion, stressing the necessity for more Democratic support: “The bill to nullify SAB 121 is back for a vote in the House this week after POTUS veto on May 31st. This constitutionally mandated vote requires a 2/3 majority to override the veto. We need around 60 more…

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Filed under: News - @ July 9, 2024 8:14 am