On May 23, 2024, the U.S. House of Representatives passed H.R. 5403, known as the CBDC Anti-Surveillance State Act. Sponsored by Majority Whip Tom Emmer (MN-06), this legislation aims to prevent the issuance of a central bank digital currency (CBDC) without explicit authorization from Congress.
Chairman Patrick McHenry (NC-10) spoke in support of the bill on the House floor. He emphasized that "this bill is straightforward" and designed to stop unelected officials from issuing a CBDC that could infringe upon Americans' financial privacy.
McHenry cited concerns about other governments using financial systems for surveillance purposes, specifically mentioning the Chinese Communist Party's use of a CBDC to monitor citizens' spending habits and implement a social credit system. He stated, "That type of financial surveillance has no place in the United States."
McHenry also noted that the current Administration had issued an Executive Order in 2022 promoting CBDC research and development, which he believes did not alleviate privacy concerns. This prompted the need for H.R. 5403 to ensure any potential CBDC would require Congressional approval and reflect American values.
He concluded by thanking Whip Emmer for spearheading the legislation and acknowledged Reps. Hill, Mooney, and Davidson for their contributions to protecting financial privacy.
"I urge all of my colleagues to support this commonsense legislation," McHenry said.
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