The governor of Florida and Republican presidential candidate, Ron DeSantis, has declared war on the development of his country’s central bank digital currency, also known as the digital dollar, through a bill.
DeSantis has introduced legislation to “protect Floridians from the Biden Administration’s use of weapons in the financial sector through a Central Bank Digital Currency (CBDC),” according to a statement released by the conservative governor.
The bill seeks to prohibit the use of the digital dollar or CBDC as money in the state of Florida. Likewise, it favors the creation of “protections” against digital currencies issued by central banks belonging to nations sanctioned by the United States.
It also aims to have other states, similar to DeSantis’s policy, enact these bans into their trade laws to “combat this notion nationwide.”
According to the Republican governor, the existence of a digital currency is “about surveillance and control” of citizens. It will also “stifle innovation”.
“DeSantis stated. “Florida won’t side with economic central planning, and won’t embrace policies that threaten economic freedom and personal safety.”
This proposal of the presidential candidate, contradicts the measures promoted by U.S. President Joe Biden, in an executive order that seeks the research and development of a central bank digital currency.
There are more bills against the digital dollar
Specifically, a few days ago, following the collapse of several banks in the United States, Biden’s government, through the Federal Reserve (Fed), ordered to launch the FedNow Service, scheduled for next July. This platform will allow payments to be made in real time, 24 hours a day, every day of the year.
It would be an opportunity to implement the digital dollar in the United States, which is exactly what DeSantis wants to avoid in Florida.
In this sense, DeSantis is not the only one proposing legislation to regulate digital currencies. Last February, his colleague, Senator Tom Emmer, introduced a bill that aims to protect the financial privacy of Americans by prohibiting the Fed from developing a digital dollar without prior review and approval by Congress.
In another case, Sen. Ted Cruz, also a Republican, introduced a bill last January to prevent the Fed from developing a digital currency that “could be used as a financial surveillance tool by the federal government.”
CBDCs, or central bank digital currencies, are a response by states to the rise and popularity of bitcoin (BTC). By 2030, it is estimated that governments around the world will use digital currencies to promote financial inclusion and increase control over digital payments, including bitcoin and its ecosystem, with transactions in the range of $200 billion annually.
- Brazil’s CBDC to be built on blockchain inspired by Ethereum network
- Ukraine unveils draft CBDC amid war with Russia
- Nigerian Central Bank Publish Guidelines On the eNaira CBDC Project
- Bank Of Japan Cites CBDC As Potential Economic Stabilizer But Worries About Anonymity
- IMF, World Bank Push For CBDC Acceptance At G20