Senator Ted Cruz (R-TX) is pushing to make the ban on central bank digital currencies (CBDCs) permanent. He filed amendment SA 4318 to the Senate's 21st Century ROAD to Housing Act, aiming to strike the current sunset clause that would let the prohibition expire on December 31, 2030. If passed, the Federal Reserve would be permanently barred from issuing a digital dollar, citing risks of government surveillance and privacy erosion.
How the Permanent Ban Would Work
Cruz's amendment specifically targets lines 15–16 on page 302 of amendment No. 4308, originally co-sponsored by Senators Tim Scott (R-SC) and Elizabeth Warren (D-MA). By removing the expiration date, Cruz ensures the ban becomes indefinite. He previously introduced the Anti-CBDC Surveillance State Act in 2025; this latest move is a legislative sequel. Journalist Eleanor Terrett confirmed on X that Cruz plans to force a vote next week.
The Housing Bill as a Legislative Vehicle
The host legislation — the 21st Century ROAD to Housing Act, introduced on March 2, 2026 — aims to tackle America's housing crisis through zoning reform, building incentives, and permit streamlining. It cuts red tape across federal agencies, standardizes funding language, and reduces duplicative reporting for HUD and the Economic Development Administration. Other amendments piggyback on the bill: Senators Young and Schatz's SA 4317 requires reports on land-use rules like accessory dwelling units, while Senator Elissa Slotkin's SA 4319 invokes the Defense Production Act to boost building materials and declares a National Housing Emergency.
Privacy vs. Innovation: The CBDC Divide
The permanent ban has split the Senate. Critics warn that blocking CBDCs entirely could leave the U.S. lagging in digital payments infrastructure and financial modernization. Supporters counter that removing the sunset clause eliminates any future risk of the government using a digital dollar for mass surveillance. Crypto advocates applaud the move, seeing it as a win for Bitcoin and stablecoins. The Federal Reserve has previously argued that a CBDC could be designed with privacy safeguards, but Cruz's camp remains unconvinced. The fight over SA 4318 reveals a deeper ideological clash: between privacy libertarians who distrust digital state money and proponents of regulatory innovation who want the U.S. to compete with China's digital yuan. As the housing bill moves forward, next week's vote will test whether this controversial attachment can survive — or whether it will sink the entire package.