The highly anticipated crypto bill promoted by former President Donald Trump faced a major roadblock this week, failing to secure full Republican support during a pivotal House session. Despite Trump’s repeated calls to pass the legislation “immediately,” internal disagreements among GOP lawmakers derailed the vote, delaying momentum for one of the most talked-about pro-crypto initiatives of 2025.
The bill, officially titled the Genius Act, aimed to solidify the United States’ leadership in the digital asset sector by reducing regulatory burdens and offering clearer protections for crypto users and developers. Trump took to Truth Social hours before the vote, urging lawmakers to “protect American innovation and pass this crypto bill now.”
Source: Donald Trump
However, despite his influence, the bill failed to achieve a united front. Some Republican members of the House, particularly from more conservative districts, raised concerns about the bill’s reach and its implications on existing financial frameworks. Others called for more explicit protections against crypto-related fraud before moving forward.
What the Crypto Bill Proposed
The crypto bill was designed to:
- Limit SEC oversight on decentralized protocols.
- Provide tax clarity for staking and mining rewards.
- Enable banks to offer custody services for digital assets.
- Establish a regulatory sandbox for blockchain startups.
Trump’s endorsement of the bill was seen as a turning point in the mainstream political acceptance of cryptocurrency, aligning with his campaign’s recent rhetoric positioning digital assets as a pillar of economic freedom and national competitiveness.
The Vote and Fallout
According to the live congressional feed, the bill fell short of the required majority due to at least 18 Republican holdouts, despite near-unanimous support from pro-crypto Democrats and libertarian-leaning Republicans. This unexpected division has frustrated both industry leaders and retail investors who were hopeful that a pro-crypto wave was imminent.
Political strategist Emily Tanner commented: “This was supposed to be a win for Trump and for crypto. The split within his own party makes it harder to build the kind of bipartisan momentum the industry desperately needs.”
Why It Matters for the Crypto Market
The failure to pass the crypto bill immediately sent mixed signals to the crypto markets. While the legislation was not expected to take immediate effect, investor sentiment has been rattled by the apparent disunity. Bitcoin and Ethereum saw minor drops in trading volume post-announcement, while altcoin volatility increased slightly amid uncertainty.
For crypto entrepreneurs, the delay represents yet another hurdle in gaining legal clarity. Many had hoped the bill would serve as a framework for future Web3 policy. Some are now looking toward the Senate, where a parallel version of the bill may soon be introduced, though chances of success remain uncertain.
Final Thoughts: What This Crypto Bill Vote Signals for 2025
The crypto bill’s failure to pass despite full-throated support from Donald Trump signals a growing divide within the Republican Party on how to regulate digital assets. While the legislation is far from dead, the fractured vote reveals just how complex the political landscape remains—even with high-profile backing. For now, the crypto community must wait and watch as Washington recalibrates its approach to blockchain legislation in 2025.
