On Wednesday, the U.S. House Financial Services Committee voted in favor of the Anti-CBDC Surveillance State Act (H.R. 1919), with 27 members supporting the bill and 22 opposing it.
This new legislation, introduced by House Majority Whip Tom Emmer (R-Minn.), aims to block the use of central bank digital currencies (CBDCs) for monetary policy and prohibit Federal Reserve banks from offering products and services directly to individuals.
The CBDC Bill’s Purpose and Provisions
The core objective of the Anti-CBDC Surveillance State Act is to ensure that digital currency policy remains in the hands of the American people, rather than being controlled by the federal government or administrative entities. Emmer, a staunch opponent of CBDCs, argued during the markup session that the bill reflects core American values, including privacy, individual sovereignty, and free market competitiveness. He voiced concerns that this could allow the U.S. government to have broad surveillance capabilities over financial transactions, potentially enabling the government to stifle politically unpopular activities.
“The Anti-CBDC Surveillance State Act ensures that the United States digital currency policy is in the hands of the American people, not the administrative state,” Emmer stated.
Background and Prior Legislation
The reintroduced H.R. 1919 follows Emmer’s previous anti-CBDC bill, H.R. 5403, which was introduced in 2023. That bill passed the House Financial Services Committee and the House of Representatives in 2024 but ultimately stalled in the Senate. The reintroduced version has gained attention in the wake of broader debates about the future of CBDCs, with increasing concern over the role of the government in digital financial infrastructure.
Opposition and Criticism
While the bill has found strong support among conservative lawmakers, it has drawn criticism, particularly from Democratic lawmakers. Rep. Maxine Waters has argued that banning CBDCs could stifle innovation and harm the U.S. financial system by causing the dollar to lose its status as the world’s reserve currency. Critics worry that the U.S. would fall behind other nations in adopting modern payment systems if it chooses not to develop a CBDC.
According to the Atlantic Council’s CBDC tracker, 134 countries and currency unions, representing 98% of global GDP, are exploring CBDCs, with 66 of those countries in advanced stages of development. The global momentum for CBDCs has raised questions about the U.S.’s ability to remain competitive in the digital economy.
The Bill’s Alignment with Broader Policy Trends
The Anti-CBDC Surveillance State Act aligns with right-wing President Donald Trump’s executive order issued in January, which sought to protect U.S. citizens from the potential risks of CBDCs, including threats to financial stability, individual privacy, and U.S. sovereignty. Federal Reserve Chairman Jerome Powell also indicated in February that the Fed would not pursue a CBDC under his leadership. Similarly, U.S. Treasury Secretary Scott Bessent expressed doubts in January, stating that there was “no reason” for the U.S. to adopt a CBDC at this time.
Stablecoin Regulation and Financial Services Committee Actions
In addition to advancing the bill, the House Financial Services Committee also voted to advance legislation aimed at regulating stablecoins. The “Stablecoin Transparency and Accountability for a Better Ledger Economy” bill seeks to establish a framework for the growth and regulation of dollar-pegged stablecoins, with the goal of enhancing their global competitiveness.
Whats next for CBDC?
The passage of the Anti-CBDC Surveillance State Act in the House Financial Services Committee marks a key development in the ongoing debate over the future of digital currencies in the U.S. As the bill moves forward, it will likely face further challenges in the House and Senate, particularly from lawmakers who view CBDCs as an essential part of modernizing the U.S. financial system. The coming months will be critical in determining whether the U.S. will follow the global trend toward CBDCs or choose a different path entirely.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/anti-cbdc-surveillance-state-act-passes-in-u-s-house/