The United States government is facing the possibility of a shutdown in the coming days, as House Speaker Kevin McCarthy faces pressure from within his own party regarding spending plans. This issue could have serious consequences for the progress of cryptocurrency bills awaiting a vote, as lawmakers would be unable to move forward on any legislation until the government funding problem is resolved.
In a significant step forward earlier this year, the House Financial Services Committee voted in favor of several bills focused on cryptocurrency. However, the shutdown could delay the passage of these bills, including the Financial Innovation and Technology for the 21st Century Act and the Blockchain Regulatory Certainty Act.
Ron Hammond, the Blockchain Association’s director of government relations, expressed concern that the longer the shutdown continues, the further these bills will be pushed back. Although there is bipartisan support for some of these bills, there are still political obstacles and differing approaches to stablecoin legislation that may pose challenges for their passage.
Lawmakers have until September 30 to reach an agreement on spending bills before the start of the next fiscal year. If a shutdown were to occur, non-essential actions from federal agencies, such as oversight from the U.S. Securities and Exchange Commission and Commodity Futures Trading Commission on digital assets, would come to a halt.
Reports suggest that Speaker McCarthy is planning to introduce spending bills that include controversial initiatives, such as abortion restrictions and funding for a U.S.-Mexico border wall, which may not gain approval from Democrats. The House of Representatives will convene on September 26 to address the issue, while the Senate will consider its own temporary funding measure.
The potential shutdown highlights the significance of crypto legislation, as it has the power to shape the future of the industry in the United States. It is clear that the resolution of the government funding issue is crucial for the progress of these bills and the development of a regulated and thriving cryptocurrency market in the country.