According to Cointelegraph, the United States House of Representatives has rejected a bill passed by the Senate aimed at funding the government, and Speaker Kevin McCarthy’s proposals have so far failed to gain traction with hard-right lawmakers in the House. This suggests that the U.S. government is heading toward at least a partial shutdown starting on Oct. 1.

A U.S. government shutdown would effectively stop all federal agencies and departments from doing anything considered “nonessential.” Even if the shutdown were to only last a matter of hours, crypto bills may take a backseat to other policies among lawmakers once activities resume. Bills for the good or ill of digital assets would be halted amid a shutdown, and financial regulators, including the Securities and Exchange Commission and Commodity Futures Trading Commission, would be running on a skeleton crew.

In July, lawmakers with the House Financial Services Committee voted to pass the Financial Innovation and Technology for the 21st Century Act (FIT), the Blockchain Regulatory Certainty Act, the Clarity for Payment Stablecoins Act, and the Keep Your Coins Act. Should a shutdown occur, no action can be taken on these crypto-focused bills. Treasury Secretary Janet Yellen also voiced her opposition to “House Republicans’ failure to act” in a Sept. 29 speech, claiming a shutdown was “dangerous and unnecessary” and could “cause economic headwinds” in the future.