Senate Housing Bill With CBDC Ban Until 2030 Advances Toward Final Congressional Votes

• Updated bipartisan housing legislation containing a ban on a U.S. central bank digital currency (CBDC) until December 31, 2030, is advancing through Congress.
• Senate and House leaders finalized the bill text, clearing the way for a procedural vote in the Senate.
• The legislation will return to the House for another vote after Senate consideration, likely shortly after lawmakers return from recess around June 23.
• The CBDC provision would prohibit the Federal Reserve from issuing a digital dollar directly or indirectly through the end of the decade.

Housing Bill and CBDC Ban Move Closer to Becoming Law

A bipartisan agreement on the 21st Century ROAD to Housing Act has moved a temporary ban on a U.S. central bank digital currency (CBDC) one step closer to becoming law.

House and Senate negotiators finalized the latest version of the legislation, resolving differences between the two chambers and allowing the bill to advance toward final congressional approval. The agreement includes a provision that would prohibit the Federal Reserve from issuing a CBDC, commonly referred to as a digital dollar, until December 31, 2030.

The updated legislation will now head for its first procedural vote in the Senate. According to Politico, Senate Majority Leader John Thune plans to move the bill forward before it returns to the House for another vote after lawmakers return from recess around June 23. If approved by both chambers, the measure will be sent to President Donald Trump for final signature.

The latest language would prevent the Federal Reserve from issuing a digital dollar either directly to individuals or indirectly through financial intermediaries. It also restricts the creation of any substantially similar digital currency structure during the prohibition period.

CBDC Ban Becomes Part of Major Housing Package

The 21st Century ROAD to Housing Act combines provisions from the House-passed Housing for the 21st Century Act and the Senate’s ROAD to Housing Act into a unified package designed to address America’s housing affordability challenges.

The legislation focuses on increasing housing supply, reducing development barriers, lowering costs for families, protecting taxpayers, and preserving local control over housing decisions. Lawmakers describe the package as one of the most significant housing reform efforts in decades.

Senate Banking Committee Chairman Tim Scott emphasized the affordability goals behind the legislation, stating that the bill is the result of years of bipartisan work to expand housing supply, reduce costs, and help more Americans achieve homeownership.

Senate Banking Committee Ranking Member Elizabeth Warren also praised the agreement, describing it as a historic opportunity to address the nation’s housing crisis.

House Financial Services Committee Chairman French Hill highlighted several House priorities included in the final compromise and expressed confidence that the measure would ultimately reach President Trump’s desk.

The bipartisan support highlights the significance of the legislation, which combines housing affordability reforms with a temporary prohibition on a U.S. central bank digital currency. Lawmakers have described the package as one of the most consequential housing measures considered by Congress in decades.

How the CBDC Provision Was Added

The CBDC language was incorporated earlier this year when Chairman Tim Scott and Ranking Member Elizabeth Warren released updated text for the legislation ahead of Senate consideration.

While housing reform remains the primary focus of the package, lawmakers included a temporary prohibition on a Federal Reserve-issued digital dollar amid growing debate over central bank digital currencies and their potential impact on financial privacy, banking access, and government oversight.

The restriction also builds on a January 2025 executive order signed by President Donald Trump. That order directed federal agencies not to establish, issue, or promote a U.S. CBDC unless specifically authorized by law.

The federal push against a U.S. central bank digital currency comes amid growing opposition at both the state and national levels. Earlier this year, South Carolina signed legislation restricting the use of CBDCs in certain transactions, while Republican lawmakers in Congress continued advocating for a permanent nationwide ban. The latest housing bill represents the most significant federal effort so far to codify restrictions on a digital dollar through the end of the decade.

The CBDC debate has become a major issue within the cryptocurrency industry, with many digital asset advocates arguing that government-issued digital currencies could increase financial surveillance and reduce individual privacy. Supporters of the restriction view the provision as a safeguard against the introduction of a federally controlled digital dollar, while supporters of CBDCs argue they could improve payment efficiency and strengthen the competitiveness of the U.S. financial system.

If enacted, the legislation would codify similar restrictions through December 31, 2030, preventing both direct and indirect issuance of a digital dollar by the Federal Reserve.

Final Votes Expected in Coming Weeks

The legislation is now entering its final stages in Congress. Following the Senate procedural vote, the bill is expected to move quickly through both chambers. House lawmakers are anticipated to consider the negotiated version shortly after returning from recess around June 23.

If approved, the measure would not only establish one of the most significant federal housing reform packages in recent years but also create a temporary statutory barrier preventing the issuance of a U.S. central bank digital currency through the end of the decade.