Trump just put the digital-dollar ban on ice over an unrelated voting bill

A CBDC Ban Caught in Political Crossfire

A US ban on a central bank digital currency (CBDC) is now on hold, and the reason has nothing to do with crypto. President Trump on Wednesday cancelled the signing ceremony for the 21st Century ROAD to Housing Act, a wide-ranging housing affordability package that also carries a ban on a US CBDC through 2030. Trump said he will not sign the legislation into law until lawmakers pass an elections bill known as the SAVE America Act.

The housing package came after months of House-Senate negotiations over restrictions on private equity investors and a temporary ban on central bank digital currencies, an unrelated proposal championed by GOP privacy advocates. The CBDC provision had been one of the more closely watched elements of the bill in crypto circles, representing the most concrete legislative step yet toward blocking a government-issued digital dollar in the United States.

Trump downplayed the bill in a Truth Social post Wednesday morning, then followed up by cancelling its signing altogether, saying he won't act on the legislation until Congress approves the SAVE America Act. The SAVE America Act is meant to cut down on noncitizen voting in US elections and impose nationwide voter-ID laws.

Bipartisan Support, Stalled at the Desk

The legislation's passage represented a rare moment of bipartisan achievement in a Congress marked by obstruction and a series of stalemates. House lawmakers passed the Housing Act by a 358 to 32 vote on Tuesday, reflecting widespread agreement on the need to help Americans facing housing affordability challenges. Senator Elizabeth Warren, who rarely agrees with Republican priorities, backed the bill hours before Trump pulled the ceremony. Senator Tim Scott was also among its supporters.

The political stakes are real on both sides. The bill is one that members of both parties are eager to campaign on ahead of the 2026 midterms, in which affordability and cost-of-living issues are playing a key role. Yet the SAVE America Act faces its own wall in the Senate. Republican leaders in the upper chamber have repeatedly said they do not have the votes to approve it or change Senate rules to push it through.

The housing bill passed the House and Senate with large, veto-proof majorities, though if the president does not sign the bill within 10 days and Congress adjourns, it could fall victim to a pocket veto. Until that clock runs out, or Trump changes course, the CBDC ban remains in legislative limbo alongside the rest of the housing package.

Sources:
CNBC: Trump cancels signing of bipartisan housing bill, demanding SAVE Act
CBS News: Trump cancels bipartisan housing bill signing, reiterates demand for SAVE America Act
The Hill: Trump cancels housing bill signing over Senate inaction on SAVE Act