- The Infrastructure Bill which threatens to decimate the crypto industry in the U.S. could be in trouble
- The bill is part of a $6 trillion package that would define Joe Biden’s presidency
- Some Democrats are holding out and demanding assurances over another aspect of the package
The Infrastructure Bill that threatens to decimate the cryptocurrency industry in the U.S. may be in the balance after moderate Democrats refused to back it unless certain assurances were given over another bill in the $6 trillion package. The Infrastructure Bill, which contains a crypto element that would see almost every cryptocurrency-handling operation from software wallet operators to Bitcoin miners fall into the same bracket as traditional brokers, was at a make-or-break stage yesterday, with house speaker Nancy Pelosi forced to delay the vote amid suggestions that the bill might never make it past Congress.
Infrastructure Bill Remains In Its Original Form
The Infrastructure Bill is one part of a series of bills intended to raise $6 trillion for improvements to infrastructure and social care, to increase military spending, and more. It is seen as the legacy of the Biden administration and therefore carries tremendous importance.
The $1.2 trillion Infrastructure Bill is the bone of contention with the cryptocurrency community, partially funded as it would be by some $30 billion that would come from a series of taxes on the crypto industry that have been labelled “impractical” by those in the crypto space. A series of amendments were proposed but these were shot down when a single senator voted against adopting them, leaving open the possibility that the new rules will be implemented in full.
Entire Package Could Fail at Congressional Level
However, there is a real chance that the complete package will now not pass through Congress. Pelosi had previously stated that there would be a vote this week on the package but this has now been delayed after it became clear that no deal would be reached that would satisfy the demands of both moderate and progressive lawmakers; progressives in the House have repeatedly told Pelosi that they will not vote for the $1.2 trillion Infrastructure Bill without assurances that the $3.5 trillion social safety net spending will also pass.
Republicans are firmly against this second bill and Democrats are clearly having a hard time convincing their own party that they can get the full package through Congress. A collapse of the Infrastructure Bill might be bad news for America’s infrastructure but it would be good news for the crypto space, so all eyes will be on Capitol Hill today as discussions continue.
