No CBDC Act

Summary

Prohibits the Federal Reserve, the Board of Governors, the Treasury, and any entity acting on their behalf from issuing or directly providing a U.S. central bank digital currency (CBDC) to individuals or to digital currency intermediaries, offering CBDC-related products or services to individuals, maintaining accounts for individuals, or holding U.S. government–minted digital currencies on Reserve bank balance sheets or using them to meet specified statutory requirements. The change adds an explicit statutory ban to the Federal Reserve Act that narrows Federal Reserve authority over retail CBDC issuance and related services.

• Creates an explicit statutory ban on the Federal government issuing a retail CBDC to individuals or custodial intermediaries.
• Prohibits the Federal Reserve and Treasury from offering CBDC products or services directly to individuals.
• Bars Federal Reserve banks from maintaining accounts on behalf of individuals, including designated accounts at intermediaries or supervised banks.
• Prevents Reserve banks from holding U.S. government–minted digital currencies on their balance sheets or using them to meet specified statutory requirements.
• The prohibition applies to Federal Reserve banks, the Board of Governors, the Treasury, other agencies, and entities acting on their behalf.
• Does not provide funding, create programs, or amend the tax code; it is a narrow statutory restriction on certain central bank activities.
• Leaves private-sector issuance and intermediary-led digital currency activity outside the direct ban (unless otherwise restricted by other law).
• Changes the Federal Reserve's legal authorities by inserting an explicit prohibition into the Federal Reserve Act.