Fed CBDCs Require Congressional Approval: New Legislation Introduced
• A US lawmaker is introducing bi-partisan legislation that would explicitly prohibit the Federal Government from issuing a Central Bank Digital Currency (CBDC) without approval by Congress.
• Rep. Jake Auchincloss and Rep. French Hill are jointly introducing the Power to Mint Act which prohibits the Federal Reserve and Treasury Department from issuing a CBDC without authorization from Congress.
• The bill aims to ensure that Congress, not unelected bureaucrats, have authority to coin money and regulate its value.
Legislation Prohibiting Fed From Issuing CBDC Without Congressional Approval
Congressional Authorization Required
A member of the US House of Representatives is introducing bi-partisan legislation that would explicitly prohibit the Federal Government from issuing a Central Bank Digital Currency (CBDC) without approval by Congress. During new House Floor remarks, Rep. Jake Auchincloss (D-MA) says that CBDCs are controversial and should require Congress’ approval prior to any possible issuance for proper vetting by those who are accountable to the voters. Auchincloss acknowledges that Federal officials have previously stated they wouldn’t issue a CBDC without Congress’s approval, but states that a law is still necessary, which is why he is introducing the Power to Mint Act.
Power To Mint Act
The Power to Mint Act clearly prohibits the Federal Reserve and Treasury Department from issuing a CBDC without authorization from Congress in order to ensure that authority rests with Congress and American people instead of unelected bureaucrats. This bill was jointly introduced by Reps Jake Auchincloss (D-MA) and French Hill (R-AR), who also expressed his constituents’ concerns about government surveillance through digital currencies as well as their financial freedom being jeopardized if such currencies were issued.
Implications For US Dollar
Auchincloss emphasizes that implications for the United States dollar as world’s reserve currency and for domestic fiscal and monetary policy of a US CDBC are hotly debated among experts due to its potential impact on economy and currency stability across the globe. He stresses importance of granting Congress exclusive power to coin money and regulate its value in order for citizens’ interests be safeguarded in such decisions through proper vetting process undertaken by elected officials accountable directlyto them – rather than unelected bureaucrats operating outside democratic mandate or public scrutiny.
Rep Hill further echoed his constituents’ worries over government surveillance via digital currencies as well as their financial freedom potentially being jeopardized if such currencies were issued, emphasizing need for clear legal framework preventing executive branch agencies from implementing such measures unilaterally or beyond scope set forth by democratically elected representatives of American people at large – rather than elitist technocrats far removed from actual realities facing majority of citizens in everyday life on ground level .
Ultimately, this proposed legislation seeks to ensure congressional oversight over any possible issues related to CBDCs while protecting American people’s rights when it comes to creation of digital assets or regulation thereof both domestically – as well within international context where US dollar plays major role in current global economic order .