Will Joe Biden's Veto of SAB 121 Be Overridden?

Bittime - Next week, the United States House of Representatives will discuss crucial decisions regarding cryptocurrency regulation that could change the landscape of the digital financial industry. This decision is especially important considering the rapid development of blockchain technology and the ever-increasing digital assets around the world. Read more in this article!

Vote to Override SAB 121 Veto

The House of Representatives will vote to override President Joe Biden's veto of Staff Accounting Bulletin 121 (SAB 121). This rule requires companies that record cryptocurrency held for customers to list it as a liability on their balance sheets. This step aims to increase transparency and accountability in financial reporting, but has caused various reactions from crypto industry players.

Check Crypto Market Today:

SAB 121, which was first introduced in 2022, has been a topic of heated debate among the crypto industry. Many worry that these regulations could stifle innovation and reduce companies' interest in providing digital asset storage services. Banks and other financial institutions have also voiced their concerns, arguing that these rules could increase operational risks and costs.

Also Read How To Buy Crypto:

Nonetheless, earlier this year, efforts to override the veto of SAB 121 gained significant bipartisan support. The vote in the House of Representatives resulted in 228 votes in favor and 182 votes against, while in the Senate, 60 members supported and 38 voted against. However, to successfully override the veto, a two-thirds majority in both chambers is required.

The Importance of This Vote

House Majority Leader Steve Scalise has scheduled a vote for next Tuesday or Wednesday. Scalise emphasized that this vote has constitutional significance. According to him, this decision is not only about crypto regulation, but also about how public policy and regulations can affect innovation and financial security.

Alexander Grieve of venture capital firm Paradigm stated that despite the considerable challenges faced, previous bipartisan support for initiatives such as the FIT 21 crypto market structure bill shows there is awareness among legislators of the importance of balanced regulation. Grieve added that there is hope to reach an agreement that can accommodate the industry's needs while protecting consumers.

Impact of SAB 121 Veto Override on Digital Asset Industry and Security

The decision to overturn or maintain the veto of SAB 121 will have far-reaching implications for the crypto industry. If the veto is successfully overturned, many hope this will ease concerns about the security of digital assets among financial institutions. They argue that without the added pressure of SAB 121, companies can focus more on innovation and developing new services that are safer and more efficient.

Conversely, if the veto remains in effect, companies holding crypto assets for customers will have to comply with the provisions of SAB 121. This means they will have to record those assets as liabilities on their balance sheets. Many industry players are concerned that these rules could stifle growth and innovation, as companies may become more cautious about offering digital asset custody services.

Reaction from the Crypto Community to the Decision Cancellation of Veto SAB 121

The crypto community welcomed cautious optimism regarding the results of this vote. They are aware of the enormous challenges facing gathering additional support in the House of Representatives. Cody Carbone of the Chamber of Digital Commerce emphasized that while it is difficult to change views quickly, efforts for consumer protection and good governance continue.

Carbone added that it is important for the industry to continue to adapt to regulatory changes, but also hopes that legislators can understand the specific needs of the sector. He said that education and open dialogue between policymakers and industry players is key to achieving the right balance between consumer protection and support for innovation.

Conclusion

The House of Representatives decision next week will be a watershed moment for cryptocurrency regulation in the United States. Whether President Joe Biden's veto of SAB 121 will be overturned or remain in effect, the outcome will influence the future direction of the crypto industry's development. All eyes are on this vote, which will not only determine the fate of SAB 121, but also provide a strong signal about how the United States will handle digital asset regulation in the years to come.

How to Buy Crypto With Bittime

You can buy and sell crypto assets easily and safely through Bittime . Bittime is one of the best crypto applications in Indonesia that has been officially registered with Bappebti. 

To be able to buy crypto assets on Bittime , make sure you have registered and completed your identity verification. Also, make sure you have sufficient balance by depositing some funds into your wallet. Just so you know, the minimum asset purchase on Bittime is IDR 10,000. After that, you can make crypto asset purchases in the application. 

Learn the Complete Guide on How to Buy Crypto at Bittime . 

Monitor the price chart movements of Bitcoin (BTC) , Ethereum (ETH) , Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.