“US Law Against Central Bank Digital Currency – What Does It Mean for Citizens?”

The US House of Representatives Votes on a Bill Against Central Bank Digital Currency (CBDC)

The US House of Representatives recently passed a bill aimed at preventing the introduction of a Central Bank Digital Currency (CBDC) by the Federal Reserve without the consent of Congress. The initiative, named the CBDC Anti-Surveillance State Act, was proposed by Representative Tom Emmer and gained support from 216 individuals, including 213 Republicans and 3 Democrats.

Protecting American Financial Values and Privacy

Representative Emmer’s bill aims to safeguard American financial values and privacy from the potential issuance of a financial surveillance tool by unelected bureaucrats. Emmer emphasizes that decisions regarding the US digital currency should remain in the hands of citizens and reflect their values.

Crackdown on Cryptoassets

The CBDC Anti-Surveillance State Act is the third bill solely focused on cryptoassets to be considered by the House of Representatives this month. Previous initiatives have touched upon cryptoasset banking and the Financial Innovation and Technology for the 21st Century Act.

Republicans Support Regulatory Changes

Republicans backing these bills aim to ease the operations of cryptoasset-related companies in the US and reduce the restrictions imposed by the Securities and Exchange Commission (SEC).

Emmer’s Bill: Protection Against Abuses

Representative Emmer’s bill seeks to prevent potential misuse of cryptoassets by the government and central bank for unfair purposes, such as surveillance of transactions and controlling citizens’ lives.

Controversies Surrounding CBDC

Republicans and some Democrats supporting the bill fear that a Central Bank Digital Currency could violate citizens’ privacy and prefer the use of private stable cryptocurrencies as an alternative.

Democratic Opposition

Democrats opposing this initiative see potential benefits in CBDC, such as boosting the dollar’s strength internationally and giving the US an edge in designing its own digital currency.

Diverse Opinions Among Politicians

Politicians from both ends of the spectrum, including Republicans supporting Emmer’s bill and Democrats from the opposing faction, present various arguments regarding the benefits and risks associated with the possible introduction of a Central Bank Digital Currency in the United States.