Main Points：
- Procedural Reconsideration Passed: The House voted 215–211 to reopen debate on three Republican‑led crypto bills after an initial defeat.
- GENIUS Act Takes Center Stage: The Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act would impose uniform federal standards on payment stablecoins.
- Market Structure Clarity: The CLARITY Act seeks to define digital commodities under the CFTC, offering legal certainty for tokens like BTC and ETH.
- CBDC Ban Controversy: The Anti‑CBDC Surveillance State Act aims to prohibit a Federal Reserve digital dollar, sparking debate among Republicans and Democrats.
- Market Reaction: Crypto markets rallied, with Bitcoin jumping to nearly $120,000 and Ethereum surging to $3,288, as traders priced in potential regulatory clarity .
- Bipartisan Dynamics: A small group of Republicans and all Democrats remain skeptical, demanding amendments on conflict‑of‑interest safeguards and privacy protections.
- Broader Context: This move follows the EU’s MiCA regime coming into force and China’s stalled e‑CNY pilot, underscoring global competition for crypto leadership.
Context: Crypto Week Rebooted
On July 16, 2025, the U.S. House of Representatives narrowly approved a motion to reconsider three key cryptocurrency bills—after a surprise failed vote the previous day—by a margin of 215 to 211. Dubbed “Crypto Week” by Republican leadership, the package includes:
- Stablecoin Regulation through the GENIUS Act.
- Market Structure Reform via the CLARITY Act.
- CBDC Limitation in the Anti‑CBDC Surveillance State Act.
This procedural victory reopens the path to substantive debate, amendment, and final votes, with sponsors aiming to complete the process before the August congressional recess.
The GENIUS Act: Federal Stablecoin Oversight
The GENIUS Act (S.1582), passed by the Senate on June 17, 2025, 68–30, is the first comprehensive federal framework for payment stablecoins. Key provisions include:
- Reserve Requirements: Mandates 100% backing of stablecoin liabilities with high‑quality liquid assets.
- Audit & Transparency: Monthly attestations of reserve holdings to ensure full collateralization.
- Dual Supervision: Joint oversight by the Federal Reserve and state regulators to prevent regulatory arbitrage.
Industry Impact
Issuers such as Circle and Tether would face stricter capital rules but gain legal certainty. Circle’s USDC, with a market cap of about $61 billion, publishes monthly reserve reports; the Act would standardize similar disclosures across all issuers.
The CLARITY Act: Defining Digital Commodities
Sponsored by Rep. French Hill and backed by House Financial Services leadership, the CLARITY Act would:
- Assign Digital Commodities (e.g., Bitcoin, Ethereum) to the Commodity Futures Trading Commission (CFTC).
- Establish Listing Rules for spot trading on exchanges, akin to securities law for stocks.
- Implement Custody Standards for custodians holding client digital assets.
This bill promises to eliminate legal ambiguity around token classification, encouraging institutional adoption. Bipartisan support is building, with advocates arguing that clear rules will drive billions in institutional capital into U.S. markets.
The Anti‑CBDC Surveillance State Act: Privacy vs. Innovation
Amid concerns over government overreach, the third bill seeks to bar the Federal Reserve from issuing a retail central bank digital currency (CBDC). Proponents argue a CBDC could threaten financial privacy and be used for surveillance. Critics counter that a carefully designed CBDC could bolster financial inclusion and modernize payment infrastructure.
Political Divide
Thirteen Republicans initially opposed the motion over the exclusion of anti‑CBDC language in the GENIUS Act, while Democrats uniformly denounce the package absent amendments addressing presidential conflicts and consumer protections.
Market Response: Prices and Sentiment
Crypto markets responded positively to the procedural win:
- Bitcoin (BTC) climbed ~2% to $120,000.
- Ethereum (ETH) surged ~8% to $3,288.
- Crypto Equities: Circle’s stock (CRCL) rose 17% to $228.88; Coinbase (COIN) gained 4% to $403.45 .
Figure: Intraday price movements following the House procedural vote.
Stablecoin Market Share
A clear regulatory structure could further boost stablecoin adoption. As of July 2025, leading stablecoins by market cap stand as follows :
| Stablecoin | Market Cap (USD) |
|---|---|
| Tether (USDT) | $160.7 billion |
| USD Coin (USDC) | $62.1 billion |
| Ethena USDe (USDe) | $5.3 billion |
| Dai (DAI) | $4.3 billion |
| Sky Dollar (USDS) | $4.0 billion |
Diagram: Stablecoin Ecosystem
[USDT]───►Trading Pairs──►DEXs & CEXs
│
├─►Reserve Assets: USTreasuries & Cash
[USDC]───►Institutional Use──►DeFi Protocols
Global Regulatory Landscape
- European Union: MiCA (Markets in Crypto‑Assets) entered into force in June 2025, harmonizing crypto rules across 27 member states and regulating stablecoins as e‑money tokens.
- China: The digital yuan pilot remains limited to closed testing, with no retail launch, as Beijing balances monetary control with financial innovation.
- United Kingdom: The Bank of England continues CBDC research, but legal groundwork lags, giving U.S. policymakers an opportunity to lead.
Clear U.S. legislation could position America as the global hub for digital asset finance, attracting innovation and capital.
Stakeholder Perspectives
- Industry Advocates: Crypto firms and trade groups welcome clarity, predicting increased institutional inflows and consumer trust. Industry leaders stress the need for balanced rules to avoid stifling innovation.
- Regulators: The SEC and CFTC have urged Congress to define their respective jurisdictions, warning that ambiguity harms investor protection and national competitiveness.
- Privacy Advocates: Civil liberties organizations warn the CBDC ban is too broad, urging further study of privacy‑preserving designs rather than outright prohibition.
Path Forward and Timeline
- Amendment Stage: Over the next days, members may propose changes, especially around conflict‑of‑interest clauses and consumer safeguards.
- Final Votes: Assuming committee approval, floor votes on each bill could occur by late July.
- Presidential Signature: The GENIUS Act, having passed the Senate, would go directly to the President’s desk, expected to be signed promptly.
- Implementation: Agencies would have 180 days to draft rules, with compliance phased in over 12–18 months.
Conclusion
The House’s decision to reopen debate on three landmark crypto bills marks a critical turning point in U.S. digital‑asset policy. If enacted, the GENIUS Act, CLARITY Act, and Anti‑CBDC Surveillance State Act will establish a clear regulatory foundation for stablecoins, digital commodities, and CBDC policy—potentially catalyzing trillions in on‑chain value and securing America’s leadership in blockchain finance. Yet, razor‑thin margins and partisan divides mean the outcome is far from certain. As global competitors press forward, U.S. lawmakers must strike a balance between innovation, consumer protection, and economic security to shape the future of money.
