• Republican Congressman Tom Emmer introduces bill to ban Fed’s CBDC
• The “CBDC Anti-Surveillance State Act” aims to protect financial privacy of American citizens
• Congressman argues that creating a CBDC could negatively impact financial privacy and individual freedom
Republican Congressman Tom Emmer (R-Minn.) has introduced a bill to ban the Federal Reserve (Fed) from issuing a central bank digital currency (CBDC). The “CBDC Anti-Surveillance State Act” aims to protect the financial privacy of American citizens by prohibiting the creation of a CBDC by the Fed without prior review and approval from Congress.
Purpose of Bill
Emmer argued that creating a CBDC could negatively impact financial privacy and individual freedom, as authorities and regulatory entities could use it as a tool to track and control citizens’ spending. The congressman clarified he is not opposed to technological innovation that could come with the creation of a CBDC. However, he maintained that these innovations should not infringe on citizens’ rights.
Provisions of Bill
The bill prohibits the Fed from issuing a CBDC directly to anyone, prevents it from using a CBDC to implement monetary policy and control the economy, and sets the frame for more transparency on such projects.
Effects on Financial Privacy
Creating a CBDC could threaten individuals’ right to financial privacy if used improperly by authorities or regulatory entities. It is therefore important for Congress to review any proposed plans before they are implemented in order to ensure that individuals’ civil liberties are protected.
In conclusion, Rep. Tom Emmer’s bill seeks to protect individuals’ right to financial privacy by banning the Federal Reserve from issuing its own digital currency without prior approval from Congress. This bill provides an important safeguard against potential misuse of this technology in order to monitor and control citizens’ spending habits.