No CBDC Act

The No CBDC Act would prevent the Federal Reserve Board, Federal Reserve Banks, the Department of the Treasury, and other federal agencies from issuing, managing, or using a central bank digital currency (CBDC). A CBDC would be a digital form of money issued directly by the central bank, similar to physical currency but in electronic form.

If enacted, this bill would block the federal government from developing or implementing a CBDC system. Supporters of such restrictions argue that CBDCs could raise privacy and financial surveillance concerns, while proponents of CBDCs contend they could modernize the payment system and provide financial access. The bill is currently in the early stages of the legislative process, having been introduced in the House in February 2025 and referred to committee for consideration.

For everyday citizens, passage of this bill would mean the Federal Reserve could not create a digital dollar or similar CBDC that might eventually replace or supplement physical cash and existing digital banking systems. The practical impact would depend on whether the Federal Reserve and Treasury were actually planning to pursue such a currency.