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The U.S. House Financial Services Committee has approved the Anti-CBDC Surveillance State Act (H.R. 1919), a bill that aims to prohibit the Federal Reserve from issuing a central bank digital currency (CBDC).
The legislation, introduced by House Majority Whip Tom Emmer, was passed with 27 votes in favor and 22 against. It seeks to prevent the Fed from offering financial services directly to individuals and using any form of CBDC to conduct monetary policy.
Emmer has argued that a government-issued digital currency could lead to excessive surveillance of citizens’ financial activity. The bill is intended to block any future attempts to launch a programmable, traceable digital dollar that could bypass commercial banking systems.
The proposal will now move to the full House for further consideration. The Federal Reserve has been exploring the possibility of a digital dollar but has not committed to launching one without clear support from Congress and the White House.
Disclaimer: This article is for informational purposes only and does not constitute legal or financial advice.