
President Donald Trump has signed an executive order barring federal agencies from pursuing any initiatives related to central bank digital currencies (CBDCs). The order, titled “Strengthening American Leadership In Digital Financial Technology,” prevents the establishment, issuance, or promotion of CBDCs within the United States, reinforcing Trump’s long-standing opposition to government-controlled digital money.
The executive order revokes policies implemented under former President Joe Biden, including his administration’s framework for digital assets. According to a White House statement, Biden’s policies hindered innovation and threatened economic freedom. Trump had previously vowed to prevent CBDCs, arguing they would grant the federal government excessive control over Americans’ financial transactions.
🚨President Trump has signed an executive order banning Central Bank Digital Currency (CBDC)
This was going to be abused by big banks as a social credit score where they could freeze your money for wrong think
Huge day for freedom pic.twitter.com/QSyLZec5u7
— DC_Draino (@DC_Draino) January 23, 2025
Under the order, all ongoing CBDC-related activities within federal agencies must cease immediately. The directive specifically states that no further action should be taken to develop or implement CBDC-related projects unless explicitly required by law.
BREAKING: President Trump signs an Executive Order to make America the world capital of crypto, ban central bank digital currencies (CBDCs), and evaluate the creation of a "national digital asset stockpile."
Let's go, @DavidSacks! 🚀🌕pic.twitter.com/e8hvwHZTEW
— KanekoaTheGreat (@KanekoaTheGreat) January 23, 2025
Additionally, the executive order establishes a presidential working group tasked with formulating a regulatory framework for digital assets such as stablecoins and cryptocurrencies. This group will assess market structure, consumer protections, and risk management in the rapidly growing digital financial sector.
JUST IN: 🇺🇸 President Trump signs executive order to ban central bank digital currencies. pic.twitter.com/biFGOdfDzo
— Bitcoin Magazine (@BitcoinMagazine) January 23, 2025
The order also calls for an evaluation of a national digital asset stockpile. Trump has previously suggested using cryptocurrency seized by law enforcement agencies to build a strategic reserve. Reports indicate that the U.S. government currently holds a significant amount of bitcoin, valued at over $20 billion.
NEW: ALL Central Bank Digital Currencies (CBDC) have been BANNED in America
''I see no reason for the U.S. to have a central bank digital currency”
– Treasury Secretary pick Scott Bessent says during a Senate hearing
Donald Trump picked the right man pic.twitter.com/QZ6ZBrhfmZ
— Wall Street Apes (@WallStreetApes) January 23, 2025
Trump’s efforts to advance his cryptocurrency policies have gained support from lawmakers such as Sen. Cynthia Lummis, who recently proposed legislation to create a Strategic Bitcoin Reserve. Her plan would involve purchasing 200,000 bitcoin annually over five years, though it requires congressional approval.
In keeping with his campaign pledges, Trump recently pardoned Bitcoin advocate Ross Ulbricht, founder of Silk Road. The pardon is part of Trump’s broader initiative to position the U.S. as a leader in digital financial innovation while preventing government overreach in the sector.