U.S. Defense Bill Includes Anti-CBDC Provision

A measure opposing the creation of a U.S. central bank digital currency (CBDC) has been added to the National Defense Authorization Act (NDAA), a key defense funding bill widely considered “must-pass” legislation, according to Bloomberg Law.

The newly added section, titled the Anti-CBDC Surveillance State Act, mirrors legislation previously introduced by House Majority Whip Tom Emmer (R-Minn.). That standalone bill cleared the House earlier this summer in a 219–210 vote, reflecting sharp partisan divisions on the issue.
The provision would prohibit the Federal Reserve from issuing a CBDC directly to individuals, effectively blocking the creation of a digital dollar that bypasses the traditional banking system.

Republican concerns over surveillance

Many Republican lawmakers have opposed CBDCs, arguing they could be used as tools for excessive government control. Emmer has repeatedly warned that a central bank digital currency could become “government-controlled programmable money” enabling authorities to monitor financial activity or even restrict politically sensitive transactions.

While CBDC advocates highlight potential benefits such as faster payments and financial inclusion, critics say the risks of centralized oversight outweigh the advantages.

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Must-pass vehicle

By tying the measure to the NDAA, supporters have increased the likelihood of it advancing, given the defense package’s annual passage is considered essential. Still, the provision could face pushback in the Senate, where CBDCs have received more mixed treatment, and negotiations over the final NDAA text often involve significant compromise.

For now, the move underscores how debates over digital currency design have entered the center of U.S. legislative strategy, with digital dollars becoming a flashpoint in broader battles over privacy, innovation, and government authority.