The US Senate has passed a housing bill including a provision that bars the Federal Reserve from issuing a CBDC until 2030.
According to CoinDesk, the bill passed with 85 votes in favour and five against, primarily designed to boost housing supply and prevent large investors from acquiring single-family properties. Banking Committee Chair Tim Scott, who jointly drafted the legislation alongside Ranking Member Elizabeth Warren, highlighted that housing prices and supply remain central concerns for US citizens. Warren described the package as the most consequential housing legislation in three decades, while Senate Minority Leader Chuck Schumer stated that the outcome demonstrates how effective bipartisan governance can be delivered.
CBDC ban: scope and provisions
The legislative text prohibits the Federal Reserve from issuing or creating a CBDC, or any digital asset substantially similar to one, whether directly or indirectly through a financial institution or other intermediary. Even once the ban lapses at the end of 2030, the central bank would require explicit authorisation from Congress before it could pursue a digital dollar.
Private stablecoins are exempt from the restrictions. The provision carves out any currency denominated in dollars that is open, permissionless, and private, leaving issuers such as Circle and Tether, already governed by the GENIUS Act enacted last year, unaffected.
The CBDC ban was not central to the bill's original purpose. It was incorporated as a concession to secure House Republican support and accelerate passage. The Senate first attached the provision in March 2026, passing that version by 89 votes to ten, before negotiators reached agreement on reconciled text following months of deliberation with the House.
Federal stance and global context
There is no active federal effort to develop a CBDC in the US. The Federal Reserve has not progressed beyond a research phase, and both Fed Chair Kevin Warsh and President Donald Trump have publicly opposed a digital dollar. Trump signed an executive order in January 2025 directing his administration not to pursue one.
Some House conservatives have called for the ban to be made permanent rather than temporary. In addition, representative Anna Paulina Luna stated that CBDCs are detrimental to all citizens, and House leaders are expected to take up the bill promptly before it reaches Trump for signature.
The US legislative direction stands in contrast to trends elsewhere. The European Central Bank is advancing plans for a digital euro, with a pilot expected next year and a full launch targeted for 2029. China has continued to expand cross-border use of its e-CNY, recently signing up 26 financial institutions. According to the Atlantic Council, three countries have already launched a CBDC, with dozens more currently piloting or developing one.
