The amendment would prevent the Federal Reserve from creating a CBDC
A new amendment to the Federal Reserve Act seeks to block the Federal Reserve from issuing a central bank digital currency (CBDC) until 2030. The language appears near the end of the 300-page “21st Century ROAD to Housing Act” (HR 6644), released by the Senate Committee on Banking, Housing, and Urban Affairs.
White House quickly issuing a statement saying they SUPPORT the 21st Century ROAD to Housing Act, touting the ban on institutional investors as well as a prohibition on a central bank digital currency until the end of 2030. https://t.co/UnmkwHjjFT pic.twitter.com/a0AmaF0of5
— Brendan Pedersen (@BrendanPedersen) March 2, 2026
Section 10 of the proposal bars the Fed or any Federal Reserve bank from creating a CBDC, directly or indirectly, through financial institutions or intermediaries. The bill, however, does allow for stablecoins, emphasizing that private, permissionless, dollar-denominated digital currencies remain legal.
The prohibition includes a sunset clause expiring on December 31, 2030, meaning Congress would need new legislation to extend the ban. The White House has voiced support for the Housing Act while opposing a CBDC, citing concerns over potential threats to privacy and individual liberty.
The Senate advanced the bill on a procedural cloture vote, 84-6, limiting debate and moving it toward full floor consideration. This marks another attempt to block a US CBDC, following earlier proposals like the “No CBDC Act” introduced by Senator Mike Lee in February 2025, which stalled, and Congressman Tom Emmer’s “Anti-CBDC Surveillance State Act” (HR 1919), which passed the House but has not cleared the Senate.
Globally, several countries are already exploring digital currencies. Nigeria, Jamaica, and the Bahamas have fully deployed CBDCs, while China, Russia, India, and Brazil are actively testing pilot programs. Germany is also running pilot projects through its central bank.
Supporters of the ban argue that a US CBDC could compromise privacy, while opponents note the potential for faster payments and modernizing monetary policy. Debate is expected to continue as Congress considers how to balance innovation with safeguarding personal and financial freedoms.
