U.S. House Targets CBDCs: Defense Bill Adds Key Provision

- NDAA includes a provision aimed at blocking CBDCs. - Republicans warn of surveillance risks, while Democrats caution against curbing innovation. The U.S. House of Representatives has added an anti-central bank digital currency (CBDC) provision to the National Defense Authorization Act (NDAA), a pivotal bill that funds the Department of Defense. This new provision, which aligns with the "Anti-CBDC Surveillance State Act" previously introduced by House Majority Whip Tom Emmer, aims to prohibit the Federal Reserve from directly issuing a CBDC to individuals. According to The Block on August 21, 2025, the provision addresses Republican fears of government surveillance. House Majority Whip Tom Emmer criticizes the CBDC concept, warning it could become "government-controlled programmable money" that allows authorities to track citizens' transactions and restrict politically sensitive activity. In contrast, Democrats argue the measure could hinder research and progress in the digital currency space, a disagreement that highlights a clear divide among congressional perspectives. Federal Reserve Chair Jerome Powell has stated that the Fed will not launch a CBDC without congressional approval. The inclusion of this anti-CBDC measure in the NDAA signals increased legislative scrutiny over digital currency developments and reflects significant tension surrounding their potential implementation. The NDAA now moves to the Senate for consideration in early September. The House expects to debate the bill further later that month. The outcome will likely shape the future regulatory and development landscape for CBDCs in the United States. According to CoinMarketCap, as of 13:00 UTC on August 21, Bitcoin (BTC) was trading at $28,524, with its 24-hour trading volume up 1.7%. Meanwhile, Ethereum (ETH) was priced at $1,812, and its trading volume has changed by 0.9%.