Catenaa, Tuesday, June 23, 2026- The US Congress has sent legislation containing a temporary ban on a Federal Reserve-issued central bank digital currency to President Donald Trump’s desk today, bringing the United States closer to formally blocking the creation of a digital dollar until the end of the decade.
The House of Representatives approved the 21st Century ROAD to Housing Act by a vote of 358-32 on Tuesday, one day after the Senate overwhelmingly passed the measure.
While the legislation is primarily focused on housing affordability and increasing residential supply, it also contains provisions prohibiting the Federal Reserve from issuing or creating a central bank digital currency, or any digital asset substantially similar to one, through Dec. 31, 2030.
The bill is widely expected to receive President Trump’s signature.
The House vote marks the final legislative hurdle for one of the most consequential digital asset policy measures enacted during the current administration.
The legislation advanced rapidly after lawmakers from both chambers reached agreement on an updated version following months of negotiations.
Supporters framed the bill primarily as a housing reform package intended to improve affordability and limit excessive market concentration by large corporate landlords.
However, the inclusion of anti-CBDC language has attracted significant attention from cryptocurrency advocates, financial institutions and policymakers.
The measure would prevent the Federal Reserve and regional Federal Reserve banks from issuing or creating a central bank digital currency directly or indirectly through financial intermediaries.
The restriction would remain in place until the end of 2030.
Although the Federal Reserve was not actively pursuing a retail CBDC launch, the legislation converts political opposition into a legally binding restriction.
The move effectively removes the possibility of a government-issued digital dollar for the remainder of the decade unless Congress revisits the issue.
The legislation aligns closely with the Trump administration’s longstanding opposition to central bank digital currencies.
President Trump signed an executive order in early 2025 directing federal agencies to halt CBDC development efforts.
Administration officials have repeatedly argued that government-issued digital currencies could threaten privacy, financial freedom and the role of private-sector innovation in digital finance.
Treasury Secretary Scott Bessent recently reaffirmed that a US CBDC remains off the administration’s policy agenda.
Instead, officials have emphasized support for stablecoins and broader digital asset market development.
The legislation is expected to strengthen the position of private-sector stablecoin issuers.
Without a government-backed digital dollar competing for adoption, regulated stablecoins may become the preferred vehicle for blockchain-based payments and digital settlements in the United States.
Many policymakers increasingly view privately issued stablecoins as a more market-oriented approach to digital currency innovation.
Recent stablecoin legislation and regulatory initiatives suggest Washington is focusing on oversight and integration of private issuers rather than creating a sovereign digital currency.
The US decision stands in contrast to developments in several major economies.
The European Central Bank continues advancing plans for a digital euro, while China has expanded deployment of its digital yuan.
South Korea is also moving forward with CBDC-related testing involving commercial banks and tokenized deposits.
By comparison, the United States is increasingly positioning stablecoins and private digital asset infrastructure as alternatives to a central bank-managed digital currency system.
The bill may influence future debates surrounding financial innovation, payment systems and monetary policy.
Supporters argue the measure protects individual privacy and prevents excessive government involvement in financial transactions.
Critics contend the restriction could limit future flexibility as other countries continue developing sovereign digital currency systems.
The outcome reinforces a broader policy direction in which blockchain innovation is encouraged through regulated private-sector initiatives rather than central bank-issued digital money.
Central bank digital currencies are digital versions of sovereign money issued and managed by central banks. More than 130 countries have explored CBDC research or development programs, although only a limited number have implemented large-scale deployments. In the United States, CBDC discussions remained largely theoretical, with Federal Reserve officials consistently stating that congressional authorization would be required before any launch. The latest legislation represents the strongest legal barrier yet to a US digital dollar and signals a clear preference for stablecoin-led innovation within the American digital asset ecosystem.
