U.S. House Advances Bill to Block Federal CBDC Implementation

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The U.S. House of Representatives has taken a major step toward halting the development and issuance of a central bank digital currency (CBDC) by the Federal Reserve. In a vote held early Tuesday, lawmakers passed the CBDC Anti-Surveillance State Act, reflecting growing bipartisan skepticism over digital currency initiatives led by the federal government.

The legislation, introduced by House Majority Whip Tom Emmer, seeks to prohibit the Federal Reserve from issuing a CBDC directly to individuals or using it to implement monetary policy without explicit congressional authorization. Supporters argue the measure protects citizens’ financial privacy and individual liberties.

Emmer emphasized that a government-issued digital dollar could give Washington unprecedented power to monitor and control personal transactions. “This bill is about preventing the surveillance-style overreach we’ve seen in other authoritarian regimes,” he said during the floor debate.

The move comes amid growing global interest in CBDCs, with countries like China already piloting digital versions of their national currencies. However, critics in the U.S. remain wary of how such a system could be used domestically, especially with concerns surrounding data privacy, financial freedom, and government overreach.

Opposition lawmakers questioned whether the bill might hinder innovation and global competitiveness, particularly as other nations continue developing their digital currencies. Some also raised concerns about limiting the Federal Reserve’s ability to modernize the U.S. financial system.

Despite differing opinions, the legislation garnered enough support to pass the House, with backing primarily from Republican lawmakers and a few centrist Democrats. The bill now moves to the Senate, where its fate remains uncertain amid a closely divided chamber.

Federal Reserve officials have previously stated they are studying the feasibility of a digital dollar but stressed that no decision would be made without clear direction from Congress. The central bank’s cautious approach has not satisfied critics who view preemptive legislation as necessary to prevent future abuse.