A Presidential Veto at Stake
President Donald Trump has until next Monday to decide on a housing bill that includes a controversial provision: banning the Federal Reserve from issuing or creating a central bank digital currency (CBDC) until 2030. The bill, transmitted by House Speaker Mike Johnson, puts Trump at a crossroads. Signing it would satisfy anti-CBDC advocates but could stifle financial innovation. A veto, however, might anger his base and trigger a political showdown.
Market Context: Bitcoin at $87K
As of press time, Bitcoin trades at $87,340 with a market cap of $1.72 trillion. The uncertainty surrounding the U.S. regulatory stance is keeping traders on edge. However, the potential ban on a U.S. CBDC is seen as bullish for decentralized cryptocurrencies. Trading volumes surged 15% in the last 24 hours, indicating anticipation of a major policy shift.
Potential Impact: A Boost for Decentralized Crypto
If Trump signs the bill, the absence of a U.S. CBDC until 2030 could accelerate the adoption of private stablecoins like USDC and USDT, and fuel innovation in decentralized finance (DeFi). Conversely, a veto might cause short-term volatility but reaffirm the government’s role in digital currency. Analysts believe this decision will set a precedent for global crypto regulation. The next 10 days will be critical for the market’s direction.
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