In the middle of the week, the US House of Representatives is expected to approve or reject US President Joe Biden’s veto to repeal the US Securities and Exchange Commission’s (SEC) amendment to the accounting rules SAB 121. As a reminder, the current rules of the Accounting Bulletin oblige banks to reflect digital assets on their balance sheets as customer deposits, as well as to ensure that they are 100% reserved and insured.
According to members of the crypto community in the United States, the position of the state regulator regarding the accounting practices of credit and financial institutions significantly limits the development opportunities of the digital finance industry and is not capable of providing a positive effect for the protection of crypto investors.
Note that the House vote to override or uphold presidential vetoes is mandatory and constitutional, so it must vote again. The vote could take place on Tuesday, July 9, or Wednesday, July 10.
In May, 55.6% and 61.2% of members of the House and Senate, respectively, voted in favor of a resolution repealing the SEC amendment. To override Biden’s veto, opponents of the incumbent president’s decision would need a two-thirds majority in both the House and Senate.
Source: Bits
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