US House CBDC Ban Weighed in Market Structure Bill

September 17, 2025 — The US House of Representatives may fold a central bank digital currency (CBDC) ban into its Digital Asset Market Clarity Act. This move could restrict the Federal Reserve from issuing a digital dollar retroactively.

Key Takeaways

US House considers adding a CBDC ban to its market structure bill.
Ban language mirrors the Anti-CBDC Surveillance State Act passed in July.
Senate still pursuing its own separate market structure framework.
Bipartisan support may be required due to slim majorities.

House Considers Engrossment Strategy

The House Rules Committee agenda on Monday showed plans to include the Anti-CBDC Surveillance State Act within the existing market structure bill. This technique, known as engrossment, would package both measures into one bill before sending it to the Senate.

The CBDC measure passed the House narrowly in July, with Republicans warning of potential surveillance risks tied to a digital dollar. Lawmakers previously debated inserting similar language into the GENIUS Act, which regulates stablecoins, but delayed the move until after recess.

Senate Pursues Distinct Legislation

Even if the House merges its bills, the Senate may remain unaffected. Senate Republicans on the Banking Committee are pursuing their own framework, the Responsible Financial Innovation Act. It builds on the CLARITY Act but follows a separate structure.

Senator Cynthia Lummis, a key backer, said she expects the committee to pass the bill by the end of September. If successful, it could reach President Donald Trump’s desk in 2026.

Political Divides and Uncertainty

Republicans control both chambers but only by slim margins, meaning Democratic support may be essential. Both sides support clearer crypto regulation. Democrats want provisions targeting Trump’s family-linked ventures: American Bitcoin, World Liberty Financial, and a personal memecoin.

For now, the House’s engrossment plan highlights GOP efforts to tie policy goals to market structure legislation. One goal is blocking a Federal Reserve-issued CBDC.

Frequently Asked Questions

What is the US CBDC ban?

The US CBDC ban refers to provisions that would block the Federal Reserve from issuing a central bank digital currency (digital dollar), citing surveillance and privacy risks.

How is the CBDC ban tied to the market structure bill?

The House Rules Committee may combine the Anti-CBDC Surveillance State Act with the Digital Asset Market Clarity Act through a process called engrossment.

Does the Senate support a CBDC ban?

Not directly. The Senate Banking Committee is working on its own Responsible Financial Innovation Act, which focuses on digital asset regulation but does not currently include a CBDC ban.

When could the CBDC ban become law?

If the House and Senate align on legislation and it passes both chambers, the bill could reach President Trump for signing in 2026.

Why do some lawmakers oppose a CBDC?

Critics argue a CBDC could give the government too much power over financial transactions, potentially leading to surveillance of citizens’ spending habits.