TL;DR
- Congressional leaders have resolved remaining differences in a major housing bill that bans the Federal reserve from issuing a CBDC through 2030.
- The CBDC provision originated in the Senate and has survived multiple rounds of legislative negotiations and votes.
- The Senate is expected to consider the latest House-passed version after lawmakers return from recess on June 23.
Congressional leaders have reached agreement on remaining differences in the 21st Century ROAD to Housing Act, preserving a provision that would prohibit the Federal Reserve from issuing a central bank digital currency until the end of 2030.
The legislation has already cleared both chambers in different forms. The House first passed the bill in February. The Senate then approved an amended version in March, and the House passed a further amended version on May 20. Congressional negotiators have now reached agreement on the remaining issues. The Senate is expected to vote on the House-passed text after lawmakers return from recess on June 23. If enacted, the measure would establish a temporary Fed CBDC ban lasting through Dec. 31, 2030.
Housing Bill Negotiations Reach Final Stage
The 21st Century ROAD to Housing Act is primarily a housing reform package to address affordability, supply constraints, and financing issues across the United States. However, lawmakers also included provisions related to digital assets and financial technology.
The latest agreement was negotiated by Senate Banking Committee Chairman Tim Scott, Senate Banking Committee Ranking Member Elizabeth Warren, House Financial Services Committee Chairman French Hill, and House Financial Services Committee Ranking Member Maxine Waters.
Congressional leaders spent recent months reconciling differences between versions already approved by both chambers. The resulting agreement preserves the temporary CBDC restriction that was originally added during the Senate amendment process.
The agreement signals continued bipartisan skepticism toward a government-issued digital currency, even as policymakers debate the future of digital payments and financial innovation.
What the CBDC Provision Would Do
The provision would prohibit the Federal Reserve from issuing a retail central bank digital currency, or a substantially similar digital asset, through Dec. 31, 2030. The temporary nature of the restriction became a point of debate during negotiations. Some House Republicans argued that the measure should permanently prohibit a Federal Reserve-issued digital dollar.
Supporters of the provision argue that a government-issued digital dollar could create privacy concerns and expand federal oversight of financial transactions. Critics of CBDCs have also warned that such systems could provide governments with greater visibility into how citizens spend money.
The proposed restriction sunsets at the end of 2030. Congress would then have the option to revisit the issue and consider future digital dollar initiatives at that time.
Trump Administration Already Halted CBDC Efforts
Congressional action comes against the backdrop of broader opposition to a U.S. central bank digital currency from the Trump administration. In January 2025, President Donald Trump signed an executive order directing federal agencies to halt work related to a potential CBDC.
The order cited concerns surrounding financial stability, individual privacy, and national sovereignty. At the same time, it encouraged the development of private-sector digital asset innovation. While an executive order can be reversed by a future administration, the proposed statutory restriction would provide a stronger legal barrier to a Federal Reserve-issued digital dollar.
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Bill Has Already Passed Both Chambers
The housing legislation has advanced through Congress multiple times this year. The House first approved the bill on Feb. 9 in a 390-9 vote. The Senate later passed an amended version on March 12 by an 89-10 margin after adding several provisions, including the CBDC restriction.
The House subsequently approved a further amended version on May 20 by a vote of 396-13. Because the two chambers passed different versions of the legislation, congressional leaders have spent recent weeks resolving remaining differences.
The CBDC language originated in the Senate amendment process and remained intact throughout subsequent negotiations.
Implications for Stablecoins
The crypto sector is watching closely as the proposal could reduce the chances of a government-issued digital dollar competing directly with private stablecoins over the next several years. Stablecoins such as USDT and USDC may benefit from a regulatory environment where private-sector digital dollars remain the primary blockchain-based dollar instruments available to consumers and businesses.
Although the final impact remains uncertain, the Fed CBDC ban is widely viewed as a positive development. Many digital asset advocates favor market-driven alternatives over a central bank-issued digital currency.
What Happens Next
With the bicameral agreement in place, the bill now awaits a Senate floor vote after lawmakers return from recess on June 23. House Republican leaders have signaled they plan to move quickly once the Senate acts. If both chambers clear the final text, it heads to President Trump for signature, and the temporary ban on Federal Reserve CBDC issuance becomes law through the end of 2030.
