Game-Changer for Crypto: Will President Biden Veto the Latest Legislation Affecting Bitcoin (BTC) and Ethereum (ETH)?

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• In a potentially game-changing moment for the crypto sector, the US Senate has passed H.J. Res 109, a bill seeking to overturn the Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin (SAB) No. 121 on Thursday, May 16.
• The bill was passed with substantial bipartisan support, receiving a 60-38 vote in the Senate and earlier approval from the House.
• Avichal Garg, Co-Founder and General Partner at Electric Capital, highlighted the industry’s frustration with the regulation, stating, “If a bank custodies $1b of Bitcoin for customers, they have to hold $1b in cash to offset this ‘liability’ on their balance sheet.”

The recent Senate vote to overturn SEC’s SAB 121 marks a significant shift in crypto regulation, potentially easing the financial burden on digital asset custodians and fostering greater market growth.

Why Yesterday’s Vote Is A Game-Changer For Crypto

The Senate’s decision to repeal SAB 121 represents a pivotal moment for cryptocurrency regulation and indicates a potential shift in the landscape of financial technology governance in the United States.

Political Implications of the Senate’s Decision

The vote showcases a rare bipartisan agreement in a highly polarized political environment, with significant implications for future regulatory approaches to technology and finance.

Industry Reactions to the Repeal of SAB 121

Leaders in the cryptocurrency industry have expressed relief and optimism following the Senate’s decision, viewing it as a crucial step towards rational and supportive regulatory measures for digital assets.

Conclusion

The Senate’s repeal of SAB 121 could herald a new era of digital asset custody and management, reducing operational burdens and potentially catalyzing further innovation and investment in the crypto space.

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