What happens if Biden vetoes Senate proposal to cancel SEC crypto rule?

Yesterday, the United States Senate voted in favor of HJRes. 109, a bill intended to repeal Staff Accounting Bulletin No. 121 (SAB 121) issued by the United States Securities and Exchange Commission (SEC). This development is considered potentially beneficial for the future growth of the crypto industry. However, the bill now faces a veto threat from President Biden.

What happens if President Biden vetoes the bill?

The good thing is that the bill could still become law without the President's signature.

Should Biden choose not to sign HJRes? 109, will be returned to Congress along with its reasons for disapproval. Congress then has the option to override the veto with a two-thirds majority in both the House and Senate.

If they are successful, the bill becomes law despite the president's disapproval.

On the other hand, if Congress fails to obtain a two-thirds majority, the veto will stand and the bill will not become law.

If President Biden wants to veto the bill, he may also want to consider whether it's worth it, and it all comes down to the US presidential election.

Voter polarization over cryptocurrency regulation could potentially influence political polarization, but for now, cryptocurrencies do not have a significant impact on voting behavior. According to a Pew Research report from April of last year, the issue does not resonate deeply with most voters, and only 17% of American adults have used cryptocurrencies..

In short, cryptocurrencies seem to be unpopular now, but it is worth noting that voters often base their decisions largely on economic conditions, which, however, are not favorable for Biden.

According The Economist, persistent inflation and economic challenges under the Biden administration could tilt public opinion against him. How Biden has handled foreign policy issues could also affect his re-election prospects. Any perceived failure or unpopular decision in these areas could lead to a loss of support.

Since key issues may not work in his favor, Biden may want to avoid seeking support from the US crypto community and now is the chance as his main rival Donald Trump has already taken measures.

Trump has recently expressed support for the cryptocurrency industry and has promised to end hostility towards it if elected. While skeptics might see Trump's shift as a strategic move to drum up support, his prior commitment to non-fungible tokens (nfts) lends some credibility to his promises.