House Republicans failed to pass a key procedural vote on Tuesday, halting progress on the highly anticipated “Crypto Week” agenda. 

The 196–222 vote blocks consideration of the GENIUS Act, the Clarity Act, and the annual defense appropriations bill. Without this rule passage, none of the bundled bills can move to debate or a floor vote.

US Crypto Week Off To a Very Bad Start 

The setback came from within the Republican party. Members of the House Freedom Caucus opposed the package, citing concerns over bundling unrelated legislation.

The GENIUS Act, designed to regulate stablecoins, had bipartisan support and backing from the Senate and the White House. President Trump has reportedly prioritized the bill and wants it delivered as written.

House Majority Leader Steve Scalise acknowledged the split.

“I was one of those who would like to see the whole package as one, but the president and the Senate really want us to move GENIUS first. The question is do we play games with the Senate bill when the president has made it clear he wants GENIUS on his desk as it’s written?” said Steve Scalise.

The failed vote derails what GOP leaders had planned as a milestone week for crypto policy. It also blocks action on defense spending, which was tied to the same rule.

Republican leaders are now weighing their options. They may bring the rule back to the floor later in the week.

However, the path forward remains uncertain. Leadership must now decide whether to unbundle the bills or renegotiate terms with dissenting members.

For now, Crypto Week is stalled. The GENIUS Act—once expected to sail through—now faces an unexpected delay in the House.

If the bill fails to pass this week, it could significantly impact market sentiment and the US stablecoin regulatory progress. Congress goes on recess in early August.

September will focus on government funding and defense. That makes fall or January 2026 the next likely window—by then, priorities could shift.