Bessent Confirms US Will Not Pursue CBDC Under Current Administration

US Treasury Secretary Scott Bessent has reaffirmed that the current US administration has no intention of launching a central bank digital currency (CBDC), describing the idea as completely excluded from policy discussions.

Speaking during a White House press briefing on Thursday, Bessent emphasized that a CBDC, a digital form of money issued directly by a central bank, will not be pursued under the current leadership. He also reiterated that the administration remains focused on strengthening the United States’ position as a global center for digital asset innovation.

According to Bessent, the decision reflects broader concerns about financial privacy and control, adding that such systems could potentially introduce mechanisms for transaction tracking at the state level.

He further stated that bringing digital asset activity into the US regulatory perimeter is a higher priority than developing a state-backed digital currency.

Push to Position the US as a Global Digital Asset Hub

Bessent argued that the most effective strategy for the US is to attract digital asset companies and infrastructure rather than developing a competing government-issued currency.

“This administration has been very clear: there will be no central bank digital currency,” he said, adding that policy efforts are focused on encouraging innovation within the private digital asset sector.

He also described the current global crypto environment as fragmented, noting that much of the industry activity occurs offshore in jurisdictions with weaker regulatory oversight.

In his view, establishing clear US regulations would help shift this activity back onshore and create a more transparent and structured market environment.

Stablecoin and CLARITY Act Gain Legislative Momentum

During the same remarks, Bessent highlighted progress on key digital asset legislation in Congress.

He pointed to the bipartisan passage of the GENIUS stablecoin bill, describing it as an example of growing cross-party alignment on crypto regulation. In addition, he noted that the Clarity Act is also gaining traction as lawmakers continue working toward a broader regulatory framework for digital assets.

The Treasury Secretary encouraged both chambers of Congress to accelerate work on the Clarity Act, arguing that clearer rules are necessary to bring structure to a sector that has long operated in regulatory uncertainty.

Criticism of Offshore Crypto Markets and Regulatory Gaps

Bessent also addressed concerns about what he described as the “wild west” nature of parts of the global crypto market.

He argued that the lack of consistent regulation has pushed much of the industry activity outside the United States, where oversight standards are weaker and risks are higher.

According to him, this offshore concentration creates regulatory blind spots and exposes investors to unnecessary risks, reinforcing the need for comprehensive domestic legislation.

Longstanding Opposition to CBDCs in Washington

Bessent’s position is consistent with comments he made during his January 2025 confirmation hearing, where he stated there is “no reason” for the United States to pursue a CBDC.

He further argued that such systems are more relevant for countries lacking strong investment alternatives or developed financial markets.

Several Republican lawmakers have also opposed the concept, warning that a government-issued digital currency could increase the potential for financial surveillance and reduce individual privacy in transactions.

CLARITY Act Faces Political and Structural Challenges

Meanwhile, the Clarity Act, which aims to define the US digital asset regulatory framework, has already passed the Senate Banking Committee after several rounds of delay and negotiation.

Those delays largely stemmed from disagreements between banking industry lobby groups and crypto advocates, particularly over issues such as stablecoin rewards and ethical provisions embedded in the bill.

Despite this progress, analysts remain cautious about its chances in Congress.

Jaret Seiberg of TD Cowen’s Washington Research Group noted in a recent report that the bill may require additional political concessions, particularly stronger conflict-of-interest rules involving the US presidency, to secure enough Democratic support for final passage.

Broader Political Vision for Digital Asset Leadership

President Donald Trump has also recently reaffirmed his administration’s ambition to position the United States as a global leader in digital asset regulation.

Posting on Truth Social, he stated that his administration intends to establish a “future-proof” regulatory framework for digital assets that would be resistant to reversal by future political opposition.

Policy Outlook and Market Implications

Taken together, the administration’s rejection of a CBDC and its simultaneous push for clearer crypto regulation reflect a broader strategic shift in US monetary policy. Rather than competing with private-sector innovation through state-issued digital currency, the approach is increasingly centered on regulating and absorbing the existing crypto ecosystem into the US financial system. However, the legislative path remains politically fragile, with unresolved debates over privacy, ethics, and regulatory scope continuing to slow progress.

In practice, the success of the CLARITY Act will likely depend less on technical design and more on whether policymakers can reconcile ideological divisions over state control, financial surveillance, and the future role of private digital money in the US economy.