Congress Halts Central Bank Digital Currency Initiative

The U.S. House of Representatives’ Financial Services Committee has advanced a crucial bill prohibiting the Federal Reserve from issuing a central digital currency (CBDC). Proposed by Rep. Tom Emmer, this legislation passed with a narrow vote of 27 to 22 and will now be debated in the full House. The proposed bill aims to prevent banks tied to the U.S. Federal Reserve from launching their own digital currency. Lawmakers fear such a currency could become a tool for government surveillance, potentially enabling authorities to monitor individual transactions.