The deadline for President Joe Biden to determine whether to veto or sign a resolution overturning the U.S. Securities and Exchange Commission (SEC)’s contentious crypto regulations is nearing. The resolution was approved by both the House of Representatives and the Senate, despite a previous White House veto warning.

Biden Faces Decision Deadline

The resolution to annul the U.S. Securities and Exchange Commission’s contentious Staff Accounting Bulletin 121 (SAB 121), recently endorsed by both the House of Representatives and the Senate, now awaits President Joe Biden’s verdict on whether to veto it. Before the House voted to revoke SAB 121, the White House had issued a warning of a potential veto if the resolution reached Biden. Nevertheless, the House passed the resolution, followed by the Senate.

“The repeal of the U.S. Securities and Exchange Commission’s Staff Accounting Bulletin (SAB) 121 is now on President Biden’s desk,” as described by the Chamber of Digital Commerce. Cody Carbone, the Chief Policy Officer of the Chamber, clarified on the social media platform X on Thursday that Congress has dispatched the resolution to Biden, and the 10-day period ends on June 3. Consequently, Biden has until June 3 to veto Congress’ decision.

Deadline Approaches for Biden to Decide on Congressional Reversal of SEC's Crypto Regulations

The Chamber highlighted that Biden has three choices. He can veto the decision, sign it to annul SAB 121, or take no action by the deadline. “A veto would effectively halt the congressional initiative to nullify SAB 121, as Congress probably lacks the votes to override the veto, which necessitates a two-thirds majority in each chamber,” the Chamber explained, also noting that alternatively:

President Biden can endorse the Joint Resolution into law, nullifying the SEC’s SAB 121 and preventing the SEC from introducing a similar rule in the future.

However, the president could also opt to take no action and allow the 10-day period to expire without signing or vetoing the Joint Resolution. The Chamber pointed out: “If Congress is in session, the President’s inaction would imply that the bill is effectively signed into law, nullifying SAB 121. If Congress is not in session, the bill could face a pocket veto, where the President’s inaction prevents the bill from becoming law.”

Following the passage of a resolution to revoke SAB 121, the House also approved H.R. 4763, the Financial Innovation and Technology for the 21st Century (FIT21) Act, a legislation aimed at establishing a regulatory framework for crypto assets. Before the House vote on FIT21, the White House issued a statement with a milder tone compared to a veto threat. The Biden administration expressed a readiness to collaborate with Congress in developing a balanced framework for digital assets.

What are your thoughts on whether President Joe Biden will veto the resolution to revoke SAB 121, as previously threatened? Share your opinions in the commenThe deadline for President Joe Biden to determine whether to veto or sign a resolution overturning the U.S. Securities and Exchange Commission (SEC)’s contentious crypto regulations is nearing. The resolution was approved by both the House of Representatives and the Senate, despite a previous White House veto warning.