The U.S. House of Representatives on May 23 voted 216-192 to approve legislation proposed by Majority Whip Tom Emmer (R-MN) that would prohibit the Federal Reserve from issuing a surveillance-style central bank digital currency (CBDC).
The CBDC Anti-Surveillance State Act, H.R. 5403, now heads to the U.S. Senate for action.
“For more than two years, we have worked to educate, grow support, and pass this important legislation, which prevents unelected bureaucrats from issuing a financial surveillance tool to fundamentally undermine our American values,” Rep. Emmer said. “We are proud to have led this effort and thank my colleagues for their support.”
The congressman on Sept. 12, 2023 sponsored H.R. 5403 alongside 52 Republican original cosponsors. The bill went on to gain a total of 165 GOP cosponsors.
If enacted, H.R. 5403 would prohibit a Federal Reserve bank from offering products or services directly to an individual, maintaining an account on behalf of an individual, or issuing a CBDC directly or indirectly to an individual, according to the congressional record bill summary.
Additionally, the bill would prohibit the Board of Governors of the Federal Reserve System from using a CBDC to implement monetary policy or from issuing a CBDC, the summary says.
“My legislation ensures that the United States’ digital currency policy remains in the hands of the American people so that any development of digital money reflects our values of privacy, individual sovereignty, and free market competitiveness,” said Rep. Emmer. “This is what the future global digital economy needs.”
The America First Policy Institute, the American Bankers Association, Americans for Prosperity, the Blockchain Association, Heritage Action, the Job Creators Network, and Independent Community Bankers of America have endorsed the bill, among numerous other supporters.