U.S. House Debates SEC's Crypto Custody Rules Amid Partisan Tensions

As the House prepares for a crucial vote, lawmakers clash over the SEC's guidance on cryptocurrency custody, highlighting deep divisions and regulatory challenges.

• House Republicans push to overturn SEC's Staff Accounting Bulletin 121, arguing it unfairly targets banks and hinders their ability to custody cryptocurrencies.
• Democrats defend the SEC's position, emphasizing investor protection and market integrity as core to the agency's mission.
• The controversy centers on whether the SEC overstepped its authority by issuing guidance without proper rulemaking procedures.
• A bipartisan effort emerges with some Democrats supporting the resolution, reflecting mixed opinions within the party.
• The outcome of the House vote could significantly impact the regulatory landscape for digital assets in the U.S.

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