Ohio Senator Jon Husted has expressed his support for new legislation aimed at preventing the Federal Reserve from issuing a Central Bank Digital Currency (CBDC). The bill, led by Senator Ted Cruz, seeks to restrict the development and implementation of a CBDC in the United States.
“If a Central Bank Digital Currency is the strategy of the Chinese Communist Party to monitor and control its own people’s transactions—it’s not anything that should be anywhere near our financial system. The Biden administration already tried to implement a CBDC, only to receive a resounding ‘NO’ from the American people. I’m grateful for Sen. Cruz’s leadership on this bill and for his work to protect Americans’ financial freedom and security. The Federal Reserve has no business monitoring the transactions of Ohioans or any other law-abiding American,” said Husted.
Senator Cruz emphasized concerns about privacy and innovation, stating: “Cryptocurrency represents financial freedom, innovation, and privacy. A Central Bank Digital Currency (CBDC) would undermine these core values, erode privacy, and stifle innovation. I am proud to introduce this bill to restrict the implementation of a CBDC, and I call upon my colleagues to expeditiously take it up and advance it.”
Senator Cramer added: “A central bank digital currency has the potential for financial monitoring and surveillance and could turn the Federal Reserve into a retail bank. Despite the previous administration’s push for this, Congress should not be circumvented and our bill ensures it.”
“This legislation is a crucial step in protecting Americans’ financial privacy and ensuring that the federal government does not have unchecked power over how we spend our money. A central bank digital currency, if misused, could become a surveillance tool that threatens individual freedoms and free market principles. I’m proud to support this bill and stand with my colleagues in defending the American people from government overreach,” said Senator Tillis.
Senator Budd commented: “As Americans face the prospect of an increasingly weaponized government, ensuring financial privacy is pivotal. A CBDC would open the door for the federal government to surveil and control the spending habits of all Americans. Any push to establish a CBDC must be confronted and stopped, and that’s why I’m proud to join Senator Cruz’s effort to do just that.”
The proposed legislation has also received endorsements from several organizations in finance and banking sectors.
David McIntosh, President of Club for Growth, said: “Allowing the Federal Reserve to issue a digital currency would violate the separation of powers, expose Americans to unconstitutional financial surveillance, crowd out private investment and innovation, increase volatility in financial markets, and threaten persistent inflation. Club for Growth applauds WHIP Emmer and the House of Representatives for their effort to keep President Trump’s promise to protect Americans from the clear and present danger of the big government CBDC scheme.”
Rob Nichols, President & CEO of American Bankers Association stated: “A central bank digital currency would fundamentally change the relationship between citizens and the Federal Reserve, and would undermine the essential role that banks play in extending credit and driving economic growth. The Anti-CBDC Surveillance State Act protects our financial system and our economy from these harms, and we applaud Sen. Cruz and his cosponsors for introducing it.”
Rebeca Romero Rainey, President & CEO of Independent Community Bankers of America added: “A Federal Reserve-issued central bank digital currency would disintermediate community banks, reduce credit availability, and undermine consumer privacy. ICBA and the nation’s community banks thank Senator Ted Cruz for introducing the CBDC Anti-Surveillance State Act to avoid the unnecessary risks a CBDC would pose to consumers and the economy.”
The full text of this legislative proposal is available online.
