The proposed bill is intended to prevent the US Federal Reserve System (FRS) from launching a digital dollar pilot project to test its capabilities in the country’s financial system. Alex Mooney believes that it is necessary to ban not only the launch of CBDC, but also its testing in order to stop the development of the digital dollar from the very beginning. Mooney’s proposed bill has already won the support of 15 other House Republicans, who also openly oppose expanding government oversight of citizens’ funds.
The Fed said earlier that it has not yet made a decision to launch a CBDC, as it requires support from Congress. However, nothing prevents the central bank from conducting development and research related to its own digital currency.
Opponents of the CBDC are concerned that if the digital dollar is launched, it will increase government oversight of money transactions and violate the privacy of citizens. Many lawmakers fear that money will be under the exclusive control of the government, and federal officials will have access to the financial data of individuals. However, supporters of state cryptocurrencies argue that the digital dollar will increase the access of the local population to financial services, reducing transaction fees.
Recall that in May, the Governor of Florida signed a law banning the use of the digital dollar in the state. Later, the US states of Louisiana, Alabama, and North Dakota also introduced similar bills.
Source: Bits
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