An independent bill that went nowhere in the Senate is now at the center of a battle in Congress over how far the government should go to block the digital dollar — and a group of 29 lawmakers wants the answer to be: all the way.
Housing Bill Quietly Eliminates Money Debate
The conflict started from an unexpected source. Senate lawmakers this week released the “21st Century Housing Act,” a 300-page piece of legislation focused on housing policy.
Buried within it was an amendment to the Federal Reserve Act that would have prevented the central bank from issuing Central Bank Digital Currency – but only until 2031.
For US Congressman Michael Cloud and his 28 colleagues, that deadline is a problem. On Friday, they sent a letter to House Speaker Mike Johnson and Senate Majority Leader John Thune saying the limit should be permanent or it doesn’t matter.
I am proud to sign a letter urging House and Senate leaders to permanently ban Central Bank Digital Currency (CBDC).
Americans deserve financial freedom, not government-controlled money.
🧵THREAD: pic.twitter.com/RXRhrJtn40
– Rep. Ralph Norman (@RepRalphNorman) March 7, 2026
“The ban on Central Bank Digital Currency must be permanent,” the letter said. The group warned that a CBDC would give the Fed more control over Americans’ money and open the door to government oversight of private financial activities.
A Powerful Bill That Has Lost Steam
The letter points directly to Congressman Tom Emmer’s Anti-CBDC Surveillance State Act, known as HR 1919, which was introduced in June 2025. That bill cleared the House on July 17 but stalled before receiving full Senate approval.
Lawmakers argue that the CBDC language of the housing bill amounts to a watered-down version of Emmer’s legislation — which removes stricter provisions.
Obviously, the house bill would still allow the central bank to study and research CBDC, something HR 1919 would have prevented.
“The strong language of HR1919 must be reinstated,” the letter said. A separate measure, the No CBDC Act introduced by Senator Mike Lee in February 2025, also called for a complete ban but has yet to advance.
What’s at stake in words
The difference between a temporary freeze and a full ban can be seen as technical. That’s not the case. The 2031 cutoff gives future administrations and Federal Reserve officials room to revisit this question if the political climate changes.
The 29 signatories argue that they are leaving the door open – and that’s exactly what they want closed. Cloud’s letter called the digital dollar “inherently anti-American,” citing concerns about civil liberties and the concentration of financial power in an unelected institution.
Whether Congress takes a stand-alone ban or rewrites the housing bill amendment remains unclear, but the letter shows the battle is far from settled.
Featured image from Unsplash, chart from TradingView
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