Republicans are warning that the bipartisan housing affordability bill could crash and burn unless it slams the door shut permanently on any chance of a central bank digital currency (CBDC’s) in the U.S.
Just 19 hours ago, reports surfaced that a group of Republicans are threatening to tank progress on this bipartisan push to tackle skyrocketing home prices. They’re demanding a solid, forever ban on CBDCs being brought into legislation.
In a strongly worded letter dated March 6 to House Speaker Mike Johnson, 28 Republican representatives said there’s a “dire need” to stop a Central Bank Digital Currency from ever taking root here. They argue it would shred financial privacy and hand the Federal Reserve scary new powers to track every dollar Americans spend.
The housing affordability bill in question, the 21st Century ROAD to Housing Act, already has a temporary CBDC ban on the books, set to expire in 2030. But that’s not enough for these lawmakers. They point out it still leaves room for the Fed to keep studying the idea, something earlier bills tried to shut down completely.
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Republicans demand they completely remove study loopholes before the Senate sends it over.
“If not,” they warned bluntly, “we will do everything to ensure that the 21st Century ROAD to Housing Act is dead on arrival.”
Rep. Anna Paulina Luna didn’t mince words either, posting that things “will probably get nasty” and calling for backup from supporters.
The housing affordability bill is designed to help
Here’s the frustrating part for anyone struggling with rent or mortgage payments: this standoff is tying up a bill that’s actually designed to help. The housing affordability bill bundles real ideas to ease building new homes, faster environmental reviews, higher loan limits through the FHA, and steps to curb big corporate landlords scooping up single-family houses. Sen. Elizabeth Warren called it a solid start, noting it pulls together bipartisan wins from both chambers.
Yet with home prices now sitting at a record 7.14 times the typical household income (worse than the 2006 bubble peak) and new construction still lagging demand since the 2008 crash, every delay hurts.
Most people, at least 61% according to a recent survey, haven’t even heard of CBDCs, especially older voters, where that number jumps over 70%.
Republicans insist they’re protecting privacy from government overreach, and they’re not alone in those worries. Even as places like China and the EU push ahead with their digital currencies, critics question who really ends up controlling the data.
Democrats, meanwhile, see blocking research as shortsighted, potentially handing advantages to rivals like China in the global dollar race. As midterms loom and economic pressures mount, holding the housing affordability bill hostage over this niche issue feels risky.
The White House has already nodded support for the package (including the current CBDC language), but House Republicans want more, and they’re willing to play hardball to get it.
