Rep. Keith Self Files Amendment to Ban CBDCs in National Defense Authorization Act
Rep. Keith Self (R-TX) has filed an amendment to the National Defense Authorization Act (NDAA) aimed at banning central bank digital currencies (CBDCs) and any digital assets substantially similar to them. The amendment, titled "Anti-CBDC Surveillance State," seeks to prohibit the Federal Reserve from testing, developing, or implementing a CBDC, as well as bar Federal Reserve banks from offering financial products or maintaining accounts for individuals.
The amendment is designed to preserve privacy by allowing an exception for dollar-denominated currencies that are open, permissionless, and private, similar to physical cash. This move comes after GOP leaders released a version of the NDAA that omitted the CBDC ban language, despite Speaker Mike Johnson reportedly promising conservatives such language.
Self described the amendment as a necessary fix for the bill, noting that conservatives were promised anti-CBDC language authored by House Whip Tom Emmer, which did not make it into the final version. Other conservative figures expressed concern about the omission: Rep. Marjorie Taylor Greene voiced support for cryptocurrency but opposed any system permitting government control, while Rep. Warren Davidson warned that CBDCs could enable government control over access to money.
A House leadership aide explained that the CBDC ban language was dropped amid negotiations over a bipartisan housing package, as it was not acceptable to some members, according to a report by The Hill. This reflects ongoing tensions within congressional negotiations.
The issue follows President Trump's executive order in January banning CBDCs by federal agencies; however, conservatives are now seeking a statutory solution through legislation rather than relying solely on executive action.
