Bessent Says No CBDC Under Trump as Congress Focuses on 2030 Sunset

U.S. Treasury Secretary Scott Bessent reiterated on May 29 that the Trump administration will not introduce a central bank digital currency, or CBDC. In Congress, however, 2030 is drawing attention as a potential inflection point because a temporary ban on a Federal Reserve-issued CBDC would expire then.

"There will be no CBDC under the Trump administration," Bessent said. His comments came as Republicans have intensified calls to block any potential Federal Reserve move to pursue a CBDC.

The ROAD to Housing Act, which has passed the U.S. House of Representatives, includes a provision temporarily barring the Fed from issuing a CBDC. That restriction is set to expire in December 2030. The Senate has not yet passed the bill.

Some Republican lawmakers interpret the sunset date as the point when the door to a CBDC effort could reopen. They are concerned the Fed could resume research or move ahead with adoption after that.

Kevin Warsh, a former Fed governor who has been mentioned as a potential candidate for the next Fed chair, has said he would not allow the central bank to pursue a CBDC under his watch. But the end of Warsh's first term would also fall in 2030, the same year the ban is set to expire, leaving longer-term policy uncertainty in place.