U.S. Regulation

US House Committee Advances Anti-CBDC Bill Over Privacy Concerns

The US House Financial Services Committee has moved a step closer to blocking federal banks from using or issuing central bank digital currencies (CBDCs) with the advancement of the CBDC Anti-Surveillance State Act.  On April 2, lawmakers voted 27-22 in favor of the bill, which now sets the stage for a full House vote. This bill aims to prevent the government from exploring CBDC development, addressing concerns about privacy and surveillance.
Minnesota Representative Tom Emmer, the sponsor of the bill, noted that it has 114 cosponsors and is supported by such organizations as the American Bankers Association and the Blockchain Association.  Emmer also associated the bill with an executive order signed by the former president of the United States in January, which banned the development and use of a CBDC in the United States.
Currently, several Republican members of Congress, including Senator Ted Cruz, are promoting the legislation, as they believe that a CBDC can be used to track people’s transactions.  However, its future in the House and Senate is still unknown, which makes the future of CBDCs in the United States ambiguous.
Terron Gold

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