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Majority Whip Tom Emmer first proposed banning Federal Reserve banks from using or issuing a digital dollar in 2022.
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Minnesota Representative Tom Emmer, the majority whip in the US House of Representatives, has reintroduced legislation aimed at preventing federal banks from using or issuing central bank digital currencies, or CBDCs.
In a March 6 notice, Rep. Emmer said he had brought back the CBDC Anti-Surveillance State Act in the House for lawmakers in the 119th session of Congress to consider. An earlier version of the bill, which the Minnesota Representative first proposed in 2022, passed the House in May 2024 and had been awaiting consideration in the Senate Banking Committee.
Draft of CBDC Anti-Surveillance State Act. Source: Tom Emmer
The proposed legislation could change the Federal Reserve Act to prohibit federal banks from issuing a digital dollar “or any digital asset that is substantially similar under any other name or label,” claiming financial privacy concerns. However, US President Donald Trump already signed an executive order on Jan. 23 prohibiting “the establishment, issuance, circulation, and use” of a US CBDC.
“President Trump understands the dangers CBDCs present and has already issued an executive order prohibiting federal agencies from exploring one,” said Rep. Emmer. “Now, we must codify this executive order in law and permanently ban their development so a future administration cannot weaponize this technology against Americans.”
Related: Overturned Chevron deference likely won’t impact crypto regulation: Tom Emmer
Rep. Emmer said roughly 100 Republicans supported the bill. However, it’s unclear whether House or Senate lawmakers intend to move forward with specific legislation amid Trump’s attempts to expand his authority through the use of executive orders. Cointelegraph reached out to Rep. Emmer’s office for comment but did not receive a response at the time of publication.
This article first appeared at Cointelegraph.com News
