The US Senate passed the 21st Century ROAD to Housing Act on Monday, a sweeping housing reform bill that also includes a ban on the Federal Reserve issuing a central bank digital currency until 2030. The legislation cleared the chamber in an 85-5 vote, reflecting broad bipartisan support for the measure.
H.R. 6644 now heads to the House floor for a final vote. If signed into law, the provision would effectively freeze any Fed-led CBDC efforts for nearly a decade, embedding the restriction within broader housing policy rather than treating it as standalone financial regulation.
The ban targets the Fed's ability to create a digital dollar directly for consumers or businesses, though it does not necessarily block private sector stablecoin initiatives or other non-central-bank digital currencies in the US. Lawmakers cited concerns over surveillance and government overreach in the digital payments ecosystem.
Market observers note the ban could create a compliance gap between the US and other jurisdictions actively developing CBDCs, such as China and the European Union. The US currently has no operational CBDC pilot, with the Fed having previously emphasized it would not proceed without clear executive and legislative support.
Privacy advocates and some crypto industry groups praised the vote as a check on potential government monitoring, while critics argue the legislation could hamper US competitiveness in digital finance innovation. The bill's housing components have drawn less scrutiny than the CBDC rider.