US Representative Tom Emmer has expressed concerns over the introduction of programmable Central Bank Digital Currencies (CBDCs) in the United States, stating that it may compromise the financial privacy of American citizens.
According to Emmer, as the federal government seeks to maintain and expand its financial control, the CBDC has gained traction within the institutions of power in the United States.
On March 9, the lawmaker addressed the issue during a speech at the Cato Institute, a libertarian think tank in Washington, DC. Emmer further emphasized that the “government-controlled programmable” Central Bank Digital Currency could be “easily weaponized” into a surveillance tool for spying on Americans.
A bill to block CBDC
To counter the introduction of CBDCs, Emmer introduced the CBDC Anti-Surveillance Act on February 22, which aims to block the Digital Dollar Project. The project has witnessed significant changes in how it would be used since the second version of its white paper was released in mid-January.
Several US lawmakers share Emmer’s concerns, citing a range of reasons for their opposition to CBDCs. They worry that a digital currency issued by the Federal Reserve could give the government unprecedented access to personal financial data, potentially jeopardizing individual privacy.
Some also raised concerns about the potential for cyber attacks, fraud, and scams, as the digital nature of the CBDC could make it more vulnerable to hacking and other forms of cybercrime.
Despite these concerns, proponents of the CBDC argue that it could offer numerous benefits, such as faster and more efficient payments, increased financial inclusion, and reduced transaction costs. The debate over CBDCs is likely to continue as the world moves toward a more digital economy.