U.S. Senate housing bill includes CBDC ban

CoinDesk

by Nikhilesh De

March 3, 2026

AI-Generated Deep Dive Summary

The U.S. Senate's bipartisan "21st Century ROAD to Housing Act" includes a provision that temporarily bars the Federal Reserve from issuing a central bank digital currency (CBDC) until December 31, 2030. This measure is part of a broader effort to address housing affordability and expand homeownership opportunities in the U.S. The bill, introduced by Senator Tim Scott and Senator Elizabeth Warren, aims to streamline regulations, lower costs, and increase housing supply without new government spending. While neither lawmaker explicitly mentioned the CBDC ban during their statements, it highlights growing concerns over privacy, personal liberty, and potential risks associated with a Fed-backed digital currency. The provision in the bill explicitly prohibits the Federal Reserve or its financial intermediaries from creating or issuing a CBDC or any similar digital asset. However, it allows for permissionless, private "dollar-denominated" currencies that maintain the same privacy protections as physical cash. This carve-out suggests a recognition of alternative digital currency solutions while limiting the Fed's direct involvement in CBDC development. The White House has expressed support for this provision, emphasizing its alignment with administration priorities to protect personal privacy and liberty. The inclusion of this ban reflects ongoing debates over the potential benefits and risks of CBDCs, which have been explored by other nations as well. While some view CBDCs as a way to modernize financial systems, critics argue they could infringe on privacy and disrupt existing financial infrastructure. The Senate's decision to delay CBDC development comes after similar efforts in previous Congress sessions, including a standalone bill passed by the House last year. However, this marks the first time such a provision has been included in a comprehensive housing-focused bill. The measure underscores the complexity of balancing innovation with regulatory caution, particularly in the crypto

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Originally published on CoinDesk on 3/3/2026