The Federal Reserve may not issue a central bank digital currency
To increase the supply of housing in America, and for other purposes, section 1101, Sec. 1101.
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The Federal Reserve may not issue a central bank digital currency
The document says “may not”Who acts: Board of Governors of the Federal Reserve System, Federal reserve banksHow: statuteSec. 1101 in the PDF
What the document says
“the Board of Governors of the Federal Reserve System or a Federal reserve bank may not issue or create a central bank digital currency or any digital asset that is substantially similar to a central bank digital currency directly or indirectly through a financial institution or other intermediary.”
The new section 16A bars the Board of Governors of the Federal Reserve System and any Federal reserve bank from issuing or creating a central bank digital currency, or any digital asset substantially similar to one, whether directly or through a bank or other intermediary.
What the document actually says
“the Board of Governors of the Federal Reserve System or a Federal reserve bank may not issue or create a central bank digital currency or any digital asset that is substantially similar to a central bank digital currency directly or indirectly through a financial institution or other intermediary.”
That sentence, in plain words
The central bank may not issue a digital dollar. It may not create one either. It may not do so through a bank or any other go-between.
What this is about
A digital dollar here means one the central bank itself owes. The ban also reaches anything much like it. Going through a middleman does not get around it.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
Increase the supply of housing in America, Public Law 119-101, sec. 1101, 140 Stat. 983 (2026). https://www.govinfo.gov/content/pkg/PLAW-119publ101/html/PLAW-119publ101.htm
This page
“The Federal Reserve may not issue a central bank digital currency,” Increase the supply of housing in America, section 1101, Sec. 1101. Read the Mandate, https://readthemandate.org/pl-119-101/proposal/sec1101-prohibition/ (retrieved October 10, 2026).
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