Major Reforms in US Crypto Assets Regulation: House Passes Three Bills, $9 Trillion Pension Market Opens to Bitcoin

On July 17, the U.S. House of Representatives passed three important Crypto Assets bills by a margin of four votes, marking a historic turning point in cryptocurrency regulation. Among them, the "Genius Act" establishes a Compliance pathway for stablecoins, the "Clarity Act" clearly distinguishes between types of digital assets, and the "Anti-CBDC Act" maintains the dominance of the dollar stablecoin. Meanwhile, the Trump administration plans to allow 401(k) retirement funds to invest in Crypto Assets, breaking traditional asset allocation restrictions, potentially restructuring the $9 trillion pension market. This policy could propel the United States to a leadership position in the Crypto Assets field, but it also brings risks for ordinary investors. A procedural vote that lasted nine hours with a difference of four votes, a late-night secret meeting at the White House, and the dramatic passage of three bills mark a watershed moment in the history of American crypto asset regulation. Vote on the "Clarity Act" (Clarity Act) on Thursday. Source: U.S. House of Representatives On the night of July 17, local time in the United States, the U.S. House of Representatives passed three key Crypto Assets bills in a session that lasted more than, setting a record for the longest voting period since the electronic voting system was implemented. The legislative battle known as "Crypto Assets Week" ultimately concluded with the results of the "Genius Act" (308 votes in favor, 122 votes against) and the "Clarity Act" (294 votes in favor, 134 votes against). While the market has yet to digest this heavy news, the UK Financial Times has once again revealed a shocking policy direction: the Trump administration is drafting an executive order that intends to allow 401(k) retirement plans, worth up to $9 trillion, to invest in Crypto Assets and other alternative assets. Bill Passage: A Political Game with a Four-Vote Difference The dramatic nature of the legislative process far exceeds market expectations. On July 15, in a procedural vote in the House of Representatives, more than 10 members blocked the advancement of the bill, blocking the advancement of the bill. The deadlock continued until the evening of the 16th, when the House of Representatives passed the procedural vote to allow the bill to enter debate with a narrow margin of 217 votes to 212. This is just the first hurdle. On July 17, in the House of Representatives, hardliners from the party launched another attack, leading to a temporary suspension of the vote. The core of the deadlock lies in the conservative demand to ensure that the "Anti-CBDC Act" must be passed, while members of the Financial Services Committee are concerned that additional provisions could cause both bills to fail simultaneously. At a critical moment, Trump personally intervened to mediate. Trump personally intervened to mediate. Late Tuesday night, Trump held an emergency meeting in the Oval Office with about 12 conservative lawmakers. Afterward, he declared on social media: "They all agreed to vote in support of the rule." However, this commitment did not take effect immediately. On Wednesday, House Speaker Johnson held over nine hours of closed-door negotiations with members of the Financial Services Committee, the Agriculture Committee, and conservative lawmakers. The final compromise reached was to attach the "Anti-CBDC Act" to another "must-pass" bill, clearing the way for the final votes on the three pieces of legislation. Bill Analysis: The Historic Restructuring of the Regulatory Framework Three bills form the cornerstone of cryptocurrency regulation in the United States, each targeting different areas: The Genius Act: The Compliance Path for Stablecoins The bill requires that stablecoins (such as USDT, USDC) must be backed by 100% cash or short-term U.S. Treasury bonds and publicly disclose asset statements monthly. Compliance stablecoin issuers with a scale exceeding 500circle will gain significant advantages. Compliance stablecoin issuers with a scale exceeding 500circle will gain significant advantages. Compliance stablecoin issuers with a scale exceeding 500circle will gain significant advantages. Compliance stablecoin issuers with a scale exceeding 500circle will gain significant advantages. Compliance stablecoin issuers with a scale exceeding 500circle will gain significant advantages. Compliance stablecoin issuers with a scale exceeding 500circle will gain significant advantages. More strategically significant is the bill's mandatory requirement for U.S. Treasury reserves, which could make stablecoin issuers the third-largest buyers of U.S. Treasuries after the Federal Reserve and foreign governments. U.S. Treasury Secretary Becerra has predicted this could lead to a demand for U.S. Treasuries of up to $2 trillion. "Clarity Act": A Century Division of Regulatory Powers and Responsibilities This 236-page bill clearly defines the distinction criteria between "digital asset securities" and "digital commodities" for the first time. Its core breakthrough is the introduction of the concept of "mature blockchain systems": tokens that meet the three standards of decentralized governance, open-source code, and automated operation can be regulated as commodity categories. The bill also exempts four types of entities from compliance obligations: blockchain underlying developers, node operators, front-end developers of defi protocols, and non-custodial wallet service providers. This means that companies like uniswap Labs, which only provide interfaces, no longer need to worry about accusations of being "unregistered exchanges." The "Anti-CBDC Act": The Monopolistic Defense of the Dollar Stablecoin CBDC (CBDC) cuts off the competitive channel between official digital currencies and stablecoins. Against the backdrop of over 98% of central banks developing CBDC (including China's digital yuan), this bill intends to consolidate the monopoly of the US dollar stablecoin globally. This bill intends to consolidate the monopoly of the US dollar stablecoin globally. Pension Revolution: The Breaking Moment of a $9 Trillion Market As the cheers of legislative victory have not yet subsided, the UK Financial Times reveals another policy bombshell: the Trump administration is drafting an executive order that requires the Department of Labor and other departments to eliminate regulatory barriers, allowing retirement plans such as 401(k) to invest in Crypto Assets, gold, and private equity. This policy has long been in the making. In May of this year, the Department of Labor revoked the Biden administration's guidance that hindered 401(k) investments in Crypto Assets, sending an "investment neutrality" signal. Earlier, in 2022, Republican Congressman Peter Meyer had proposed the Retirement Savings Modernization Act, attempting to incorporate digital assets into the pension framework. The strategic intent of the new policy is clear: Open asset classes: Breaking the long-standing limitations of 401(k) to traditional stocks and bonds, incorporating Crypto Assets, gold, and private equity funds into the investable range. Reduce legal risks: Establish a "safe harbor" for plan managers, allowing them to avoid excessive litigation when offering high-risk assets. Reconstructing the flow of funds: Unlocking investment restrictions in the $9 trillion pension market to bring long-term capital to alternative assets, U.S. House of Representatives. To understand the far-reaching impact of this policy, it is necessary to delve into the structure and scale of the U.S. pension market. As the world's top retirement reserve system, the total scale of the U.S. pension market has surpassed the 9 trillion dollar mark. Specifically, by the end of March 2025, the DC retirement plan asset scale reached 12.2 trillion USD. Among them, the core component 401(k) plan accounted for 8.7 trillion USD, becoming the core vehicle for long-term wealth reserves for American wage earners. This massive amount of funds comes from the continuous contributions of tens of millions of workers. The 401(k) plan, with its key advantages such as pre-tax deductions, tax benefits, and employer matching, has become the cornerstone of asset allocation for most families. Traditionally, pensions are mainly allocated to public market securities. As of the end of the first quarter of 2025, approximately 61% ($5.3 trillion) of 401(k) plans are managed by mutual funds, with equity funds ($3.2 trillion) dominating, while hybrid products such as target date funds, at $1.4 trillion, provide operational space for current policy breakthroughs in alternative assets. (ira) provides more flexibility for self-directed investments, and these retirement reserves continuously increased by ordinary people constitute a long-term source of capital that supports the U.S. economy and capital markets. Compared to China's pension system, both countries adopt a multi-tiered design approach: the employer-funded nature of domestic enterprise/professional annuities is similar to 401(k), while personal pension accounts align with the self-investment logic of IRA. Therefore, the expansion of the investment scope of American pensions has important reference value for the global public asset allocation concept. The keen-scented Wall Street giants have already laid out their plans: (Vanguard) reached a cooperation Apollo Asset Management and the partner group authorize retirement plan operators. BlackRock has established a partnership with the third-party management institution Great Gray Trust. State governments have also taken the lead. North Carolina has proposed allowing retirement funds to allocate 5% to Crypto Assets; the retirement systems in Michigan and Wisconsin have already invested in Bitcoin and Ethereum spot ETFs. Conclusion: Challenges in the Era of Clear Regulation On July 18, the "Genius Act" will be signed into effect by Trump; the new 401(k) policy executive order may be announced this week. Behind the policy combination is the ambition of the United States to compete for dominance in Crypto Assets. As 9 trillion dollars in retirement funds connect with the Crypto Assets market, the boundary between traditional finance and digital assets is beginning to dissolve. Institutions like BlackRock have started to accept Bitcoin, and JPMorgan plans to accept Bitcoin as collateral for loans. The innovation dividends brought by regulatory clarity may help the U.S. regain its dominance in blockchain. However, the risks of this experiment should not be ignored — ordinary Americans' retirement funds are being invested in highly volatile new assets, and Wall Street private equity giants will become the biggest beneficiaries. The watershed moment in the history of global Crypto Assets has arrived. The "clarity" of regulation will ultimately forge the "freedom" of innovation, but how to balance the scales between freedom and risk still tests the wisdom of policymakers.