House set to vote over President Biden's veto of SAB 121 overturn

The House of Representatives will vote on Wednesday on whether or not to repeal President Biden's decision to veto the overturn of SAB 121.

SAB 121 resolution back on House court

The House of Representatives is scheduled to vote on the possible overturn of President Biden's veto of Congress's repeal of controversial SAB121 on Wednesday.

Staff Accounting Bulletin 121 (SAB 121), introduced by the Securities & Exchange Commission (SEC) in 2022, requires crypto companies to record their customer holdings as liabilities on their balance sheets. The bulletin drew massive criticism across the crypto industry and the political sector, leading to its repeal by Congress in May.

Regardless, President Joe Biden vetoed the bipartisan overturn, arguing that removing SAB 121 would undermine the SEC's ability to regulate the crypto industry properly. He also claimed that his administration "will not support measures that jeopardize the well-being of consumers and investors," SAB 121's repeal in this case.

The House would need a two-thirds majority vote to support the motion to overturn the President's veto. However, certain political voices suggest that this may be a difficult bridge to cross, especially with the need to get votes from Democratic members.

Senator Bill Hagerty posted on X:

"The last vote was pre-determined given Biden's veto threat - this time it is live. Pro-innovation Republicans have made our stance clear — will Democrats have the courage to join us?"

Additionally, Alexander Grieve, head of government affairs at Paradigm, previously made a similar comment on tomorrow's vote:

"Let's see if the House can rally a 2/3 vote to overturn the veto (steep hill to climb but not impossible given how bipartisan the FIT vote was)," Grieve said on Friday, referencing the bipartisan support towards the FIT-21 bill.