Crypto Monday: Why Is Congress Banning a Digital Dollar?

Research evidence excerpt

Crypto Monday: Why Is Congress Banning a Digital Dollar?

TD Securities (USA) LLC POLICY NOTE

June 22, 2026

■WRG Crypto Currency Crypto Monday: Why Is Congress Banning a

■WRG Financial Services

Digital Dollar?

Jaret Seiberg THE TD COWEN INSIGHT

202 868 5313

Our Crypto Monday focus is on Congress this week enacting a housing bill that includes

jaret.seiberg@tdsecurities.com

language blocking the Federal Reserve from issuing a digital dollar before Dec. 31, 2030.

We were not expecting the Fed to issue a digital dollar, which is why there is little immediate

impact. Yet by making the ban temporary Congress is preserving the ability for the Fed to

respond to future global competition.

Our View

■This provision is part of a bipartisan housing package that the Senate should approve today

and the House as soon as Wednesday. We expect President Trump to sign it within days of

passage.

■The provision will have no immediate impact. The Fed is not preparing to issue a

digital dollar. And we do not believe it has much interest in acting on a central bank

cryptocurrency.

■There are bipartisan concerns about a digital dollar as it could make it easier for the

government to track individual spending and to seize funds from individuals.

■More broadly, stable coins offer similar benefits as a central bank cryptocurrency including

instant settlement. And in the eyes of those critical of a digital dollar, stable coins do not

pose the same risk to consumer privacy.

■We believe the broader question is why the ban is temporary rather than permanent? House

conservatives have tried repeatedly to permanently block the Fed from issuing a digital

dollar. They have sought to attach it to numerous bills over the last several years including

the National Defense Authorization Act.