The US House added a provision banning the Federal Reserve from issuing a central bank digital currency (CBDC) into a bill setting the country’s defense policy for the 2026 fiscal year. The bill passed with a slim vote and now faces an uncertain future in the Senate.

House Republicans promised to include a CBDC ban in the military spending bill after a group of holdouts stalled three crypto bills. The bills eventually moved forward after the House Majority Leader promised to add the CBDC ban to the National Defense Authorization Act.

The provision in the defense policy bill would ban the Fed from issuing any digital currency or asset and stop the central bank from offering financial products or services directly to individuals. The bill does allow for stablecoins but prohibits the Fed from creating a digital currency.

House Republicans have been pushing to ban CBDCs, with a previous bill called the CBDC Anti-Surveillance State Act introduced in the last Congressional session. The bill died with the last Congress, but a new version has been reintroduced in the current Congress aligning with President Trump’s executive order.

Read more at Cointelegraph: House Puts CBDC Ban in Must-Pass Defense Bill