MicroStrategy chairman Michael Saylor has taken to social media to celebrate the potentially game-changing moment for the crypto sector after the U.S. Senate passed a resolution to rescind a Securities and Exchange Commission (SEC) accounting rule targeting banks that offer crypto services.
“Wall Street wants Bitcoin, the House of Representatives wants Bitcoin, and now the Senate wants Bitcoin,” the Bitcoin-loving exec stated on X (formerly known as Twitter).
Senate Denounces SEC’s Draconian Crypto Custody Rule
On Thursday, the U.S. Senate joined the House of Representatives in seeking to scrap the SEC crypto policy known as Staff Accounting Bulletin No. 121, which could pose a major threat to crypto custodial services in the United States.
The controversial rule requires banks that safeguard crypto assets to record them as a liability on their corporate balance sheets. Critics argued that the proposed bill would disincentivize banks from providing custodial services for digital assets.
A dozen Democrats voted alongside a majority of Republicans in favor of the resolution, giving it well over the simple majority of votes required to pass. However, the resolution did not garner enough votes to make it veto-proof.
Bitwise’s Chief Investment Officer Matt Hougan described the Senate’s move as transformative for the industry: “This is a game-changing moment for crypto. It’s one of the catalysts that will propel crypto to new all-time highs as the market digests the sea change that’s occurred here.”
Besides the previous crypto taxation provision that made its way into an infrastructure law despite the industry’s opposition, this represents the first time that Congress has moved on an issue that focuses on the crypto sector — and is in a way meant to benefit the industry.
Biden Vowed To Veto SEC Crypto Policy
Jake Chervinsky, Chief Legal Officer at Variant Fund, further commented on the potential implication of the legislation passage, noting, “The Senate just delivered a deafening bipartisan message in favor of common sense and against SEC overreach. It’s impossible to overstate the importance of Majority Leader Schumer voting to repeal SAB 121 over President Biden’s threatened veto.”
Notably, President Joe Biden has already indicated that he would veto the resolution if it’s passed. Biden argues that shooting down the SAB 21 rule could hinder “work to protect investors in crypto-asset markets and to safeguard the broader financial system.”
That being said, crypto enthusiasts and experts alike remain on edge as they await President Biden’s decision.
BTC was changing hands at $66,357.94 as of publication time, a +0.4% change on the day.
