According to Odaily, the forthcoming House Appropriation Bill could potentially prevent the U.S. Securities and Exchange Commission (SEC) from implementing its controversial Staff Accounting Bulletin 121 (SAB 121). Eleanor Terrett, a reporter, stated that the bill would prohibit the SEC from using appropriations to enforce this rule. Appropriations allow agencies to incur obligations and make payments from the U.S. Treasury for specified purposes.
A policy rider in the budget stipulates that the SEC is prohibited from implementing or enforcing Accounting Bulletin No. 121, which has imposed harmful digital asset requirements. It is currently unclear whether the budget bill can be passed in its current form. The Republican-majority House of Representatives is likely to pass the appropriations bill at a hearing on June 5. However, the Senate, where Democrats and Independents hold the majority, will need to negotiate their own appropriations bill with the House's bill.
Terrett indicated that the Democrats support an earlier resolution, H.J. Res. 109, with the same objective, which means the Senate may retain this rider in the budget. The bill aims to provide a total of $2 billion for the SEC by 2025, rather than the $25.9 billion requested by SEC Chairman Gary Gensler.