On April 2, the U.S. The House Financial Services Committee approved a bill that aims to prevent federal banks from launching or using CBDCs. The Anti-CBDC Surveillance State Act passed with 27 votes in favor and 22 against. The vote was on 2 April 2023 at nighttime.
House Majority Whip Tom Emmer introduced a bill that reflects growing concern over the federal government’s ability to monitor transactions with a CBDC. There are concerns, as Emmer says, that such an arrangement would mean “government-controlled programmable money,” trampling on personal freedoms. Emmer stated that the legislation is the key to promoting financial freedom and preventing government overreach.
This isn’t the first time Emmer has championed this cause… The Senate shelved a similar bill in 2024, despite its initial momentum. Now reintroduced as H.R. In 1919, the legislation corresponded with a recent executive order by former president Donald Trump, which prohibited the issuance as well as use of CBDCs in the US.
People who support the bill say CBDCs are very risky. They say they can let the government restrict transactions that it doesn’t like. People are saying that if CBDC development is stopped, it will restrict the US from competing with other nations in finance. Rejecting CBDC will jeopardize the dollar as the world’s reserve currency.
During the same meeting, lawmakers also cleared the Stablecoin Transparency and Accountability for a Better Ledger Economy Act, also known commonly as the STABLE Act. This bill aims to set clear rules to regulate stablecoins to boost oversight and maintain the ruling competitiveness of dollar-backed coins.
All over the world, things are changing very quickly. Over 130 countries are exploring CBDCs; some are even piloting or implementing them. However, U.S. officials remain cautious. Like other central banks worldwide, the US is also working on a digital currency project. According to a recent report, authorities believe there is no need for a digital dollar right now. Federal Reserve Chair Jerome Powell and Treasury Secretary Scott Bessent have confirmed that there are currently no plans for such a currency.
The bill, which forbids the issuance of CBDCs, and the stablecoin regulation proposal are moving to the full House for the vote. Members of Congress are weighing innovation in fintech against freedom and privacy for people. What happens next will determine the future of digital currency in the U.S. and its global financial standing.
