The U.S. Senate has overwhelmingly passed legislation that would ban the development of an American central bank digital currency (CBDC), often referred to as a "digital dollar." The ban, if enacted, would remain in effect until 2031.
This measure was attached to a broader housing bill, the 21st Century ROAD to Housing Act, which secured strong bipartisan support in the Senate, passing by a vote of 89 to 10.
Critics, particularly some conservatives, have voiced concerns that a CBDC could enable government surveillance of citizens' financial activities.
However, the bill now faces significant challenges. It requires passage by the House of Representatives, where opposition to certain provisions, including those related to institutional investment in single-family homes, has been reported. Furthermore, the President has indicated a reluctance to sign bills until other legislative priorities are addressed.