Senator from Maine defeats proposal to introduce Central Bank Digital Currency.
Senator Eric Brakey from Maine achieved victory in his fight against the introduction of the Central Bank Digital Currency (CBDC) through an amendment to bill LD 91. The LD 91 bill, proposed by Representative Stephen Moriarty, aimed to make amendments to the Uniform Commercial Code (UCC), which was developed by the Uniform Law Commission.
The previous version of the bill excluded Bitcoin and other cryptocurrencies from its definition of “money” and contained provisions that raised concerns about the potential introduction of CBDC. The Central Bank Digital Currency would have allowed the government to control all transactions, restrict purchases, and instantly freeze bank accounts.
Senator Brakey strongly opposed the LD 91 bill, as he believed that the introduction of CBDC could infringe upon American freedom. Instead of completely blocking the bill, Brakey worked with Democrats to remove the controversial elements.
During a meeting of the Maine Judiciary Committee on February 7th, Brakey’s amendment was discussed, which eliminated the provisions regarding CBDC from the UCC amendments and removed references to electronic money. Representative Moriarty supported Brakey’s amendment and called for a vote on the bill in its modified version. After a brief discussion, all committee members voted in favor of “adoption” of Brakey’s amendments.
Senator Brakey’s victory is also a victory for Bitcoin, which remains independent from government control. This signifies a defeat for CBDC supporters who sought to grant the government unprecedented control over Americans’ lives.
If the LD 91 bill is adopted in its modified version, Maine will join other states such as New Hampshire, Nevada, Colorado, Indiana, and Alabama, which have enacted some UCC amendments without support for CBDC and in opposition to Bitcoin.
In practice, this means that the Maine state authorities will not have the power to introduce a central bank digital currency, which could impact the development and regulation of cryptocurrencies in the state. This is an important milestone for future decisions regarding cryptocurrencies in Maine and for other states currently considering similar regulations.
