Senate Housing Bill Adds Temporary CBDC Ban Clause

TLDR

• The Senate passed the 21st Century ROAD to Housing Act by an 89–10 vote on March 12.
• The bill includes a temporary CBDC ban that blocks the Federal Reserve from issuing a digital dollar through 2031.
• Economist Peter St. Onge warned that Congress is trying to insert a CBDC into a must-pass housing bill.
• St. Onge stated that 80% of voters oppose a government-controlled digital dollar.
• House conservatives pushed to add the anti-CBDC provision during bipartisan negotiations.

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The U.S. Senate passed a broad housing package that includes a temporary CBDC restriction. Economist Peter St. Onge warned lawmakers that they are trying to sneak a CBDC” into the bill. His post on X drew 195,700 views and 3,600 likes by March 26 afternoon.

St. Onge said the measure could replace the dollar with a “government-controlled crypto-token.” He added that 80% of voters reject such a system, citing public resistance. The warning revived debate over digital currency policy in Congress.

Senate Housing Bill Embeds Temporary CBDC Ban

The Senate approved the 21st Century ROAD to Housing Act on March 12 by an 89–10 vote. Lawmakers designed the bill to address housing supply and affordability issues. The package covers FHA loan limits and investor activity in single-family housing markets.

However, Title X bars the Federal Reserve from issuing a digital dollar through 2031. The provision also restricts regional Federal Reserve banks from creating similar digital assets. The language prevents any asset that closely resembles a CBDC.

House conservatives pushed to insert the anti-CBDC clause during negotiations. They tied support for the housing package to digital currency limits. As a result, leaders secured bipartisan backing for the final Senate vote.

The White House signaled support for the measure in its current form. Advisors recommended that the president sign the bill if Congress sends it forward. The administration did not issue separate comments on the CBDC language.

CLARITY Act Negotiations Continue Alongside CBDC Debate

Lawmakers are also negotiating the CLARITY Act, which addresses digital asset market structure. The Senate stalled progress over disagreements on stablecoin yield provisions. Coinbase withdrew support from an earlier draft over yield restrictions.

The exchange said the proposed language would ban passive yield on stablecoins. It argued that the draft created stricter limits than existing frameworks. Senators have since reopened discussions to resolve the dispute.

Senator Cynthia Lummis said lawmakers have “largely reached” an agreement on yield and DeFi provisions. She identified April 2026 as a key legislative window for final action. Her comments followed renewed bipartisan talks on digital asset oversight.

Wall Street commentator @WallStreetMav questioned the Senate compromise on X. He wrote, “Republicans aren’t banning CBDCs, they’re redesigning them.” He added that the structure would route control through banks.

The Senate version restricts CBDC development until the end of 2030. Some House Republicans want a permanent prohibition instead of a temporary limit. House leaders have indicated they may seek changes during conference negotiations.

The Federal Reserve has maintained it will not issue a digital dollar without congressional approval. Officials have described current work as research rather than active development. The House and Senate must reconcile differences before final passage.

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