US President Donald Trump canceled the signing ceremony for the housing accessibility bill prepared by Congress with bipartisan support. The regulation in question also includes a four-year ban on a central bank digital currency that can be issued by the Federal Reserve. However, Trump wanted to advance a separate regulation requiring voters to provide proof of citizenship before signing the housing package.
Signing process stuck in political disagreement
In his statement on his Truth Social account, Trump announced that the planned signing ceremony was canceled until the SAVE America Act is passed. The President stated that he sees this regulation as a matter of national urgency. Thus, the CBDC ban, which was expected to progress together with the housing law, has been put on hold for now.
Trump announced in his Truth Social post that the signing ceremony for the housing law was canceled until the SAVE America Act is passed.
The SAVE America Act includes provisions requiring those who vote in federal elections to show proof of citizenship and identification. According to the news, Republican leaders are having difficulty gathering enough support for this regulation. Trump had previously threatened to not advance some other legislation before this bill came to his desk.
Implications for the crypto industry
The four-year CBDC ban in the housing package was seen as positive for the crypto industry, which remains distant from the idea of a digital dollar. If the regulation came into force, the ban was expected to be valid until the end of 2030. Although it was assessed that the USA was not preparing to issue a CBDC in the short term, this provision was viewed as an important political gain in the industry.
Mini dictionary: CBDC refers to digital national currency issued by central banks. Unlike existing cryptocurrencies, these assets are controlled by the public authority.
The news also stated that time pressure has increased for the Digital Asset Market Clarity Act, which is one of the main agendas of the crypto industry in Washington. This bill aims to clarify the regulatory framework of the digital asset market. Since there is approximately five weeks left in the Senate calendar before the summer break, it is considered that a new delay in Congress may pose a risk for this regulation.
Congress calendar is getting shorter
House Speaker Mike Johnson said that the SAVE America Act is stuck in the Senate and this regulation should be added to another budget package. Johnson’s statement pointed out that the political precondition requested by Trump may not be resolved in a short time.
House of Representatives Speaker Mike Johnson said that the bill was stuck in the Senate and was planned to be added to another budget package.
In another post before canceling the signing ceremony, Trump argued that he viewed the housing law as secondary compared to low interest rates and other Congressional priorities. He also criticized Democratic Senator Elizabeth Warren’s role in the process. Under the US Constitution, the president has 10 days to consider legislation that comes to his desk.
