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A U.S. ban on a Federal Reserve retail central bank digital currency has taken effect after a CBDC provision in the 21st Century ROAD to Housing Act became law without President Donald Trump’s signature.
The bill became law after the presidential review period expired, putting the CBDC restriction into statute even though Trump did not personally sign the package.
Housing Bill Cleared 10-Day Review Window
Trump had refused to sign the housing package unless Congress advanced his SAVE America Act, a voting bill focused on voter identification and election rules.
He did not veto the housing bill. Under the U.S. Constitution, a bill can become law without the president’s signature if the 10-day review period expires while Congress remains able to receive a veto message.
That is what happened with the housing measure. The result puts the CBDC ban into law without a signing ceremony.
Fed Barred From Retail CBDC Until 2030
The CBDC provision sits in Title XI of the housing law. It amends the Federal Reserve Act to bar the Fed from issuing or creating a central bank digital currency, directly or through an intermediary, until December 31, 2030.
The restriction also covers any digital asset that is substantially similar to a CBDC. The bill defines a CBDC as a dollar-denominated digital asset that is a direct liability of the Federal Reserve and is widely available to the public.
Provision Targets a Public Digital Dollar
The wording targets a retail digital dollar issued by the Fed. It does not target private stablecoins or bank-issued tokenized deposits under the definition used in the bill.
Trump had already moved against CBDCs through a January 2025 executive order. The new law gives that policy a statutory basis, making it harder for the Fed to revive a retail CBDC before the end of 2030 without Congress changing the law.
Private Stablecoins Remain Outside CBDC Ban
The ban lands while Congress and regulators continue to work on rules for privately issued stablecoins and broader crypto market structure. That creates a clearer policy split.
The Fed is now barred from issuing a retail CBDC through 2030, while private companies and regulated financial institutions can continue developing digital-dollar products under separate rules.
The restriction will remain in place unless Congress changes the law or allows the ban to expire after December 31, 2030.
