U.S. President Donald Trump is reportedly withholding his signature from a sweeping housing bill that would bar the Federal Reserve from issuing a central bank digital currency (CBDC) through 2030, tying the measure to a separate voter-eligibility law that the Senate has already rejected.
A Bipartisan Ban Caught in a StandoffThe legislation Trump is holding out for is the Safeguarding American Voter Eligibility Act, which would require documentary proof of citizenship to register for federal elections. That bill failed its most recent Senate vote on June 4, falling 48-50, with four Republicans (Senators Susan Collins, Lisa Murkowski, Mitch McConnell, and Thom Tillis) joining every Democrat to block it. Senate Majority Leader John Thune has since signaled he is unlikely to bring it back to the floor this session, leaving the standoff without an obvious resolution.
The delay has drawn criticism from both sides of the aisle. Democrats have accused the president of holding popular housing relief hostage to an unrelated partisan priority, while Republican leaders have urged patience and insisted the party remains united.
Why the Ban Still Looks LikelyInternationally, the U.S. stance runs against the grain. More than 130 countries representing the bulk of global gross domestic product (GDP) have explored central bank digital currencies, and several (including China with its digital yuan) have moved to pilot or launch them. A four-year U.S. ban would leave the world’s largest economy on the sidelines of a technology its main geopolitical rivals are actively deploying.
The next step is whether Trump relents, Congress revisits the voter bill, or the housing package becomes law without a presidential signature once the constitutional clock runs out. Either way, a U.S. central bank digital currency would remain off the table until the end of the decade.
