US Lawmaker Tries Again to Stop Digital Dollar
Guess what? A lawmaker in the US is trying to stop the government from making a digital version of the US dollar. This time, he’s trying even harder after President Trump said no to a digital dollar. Let’s find out more about this digital currency battle.
What’s a Digital Dollar?
A digital dollar, or CBDC (Central Bank Digital Currency), is like real money but in digital form. It’s issued by the central bank and can be used for buying stuff online or in stores. Some countries are already using or thinking about using CBDCs.
Why Some People Don’t Want It
In the US, some people don’t like the idea of a digital dollar. They think it might let the government watch what we buy and keep track of our money, which could be a problem for our privacy.
What’s the Lawmaker Doing?
Congressman Tom Emmer is trying to stop the government from making a digital dollar. He’s written a law called the CBDC Anti-Surveillance State Act. This law wants to change a important money rule to stop federal banks from making a digital dollar or anything like it.
This isn’t the first time he’s tried. He did it before, and many other lawmakers agreed with him. But this time, he’s trying even harder after President Trump said no to a digital dollar.
What Did President Trump Say?
President Trump said no to a digital dollar in an important message called an executive order. He said federal agencies can’t try to make a US CBDC. He thinks it’s better to have private digital money, like stablecoins, instead.
What About Other Countries?
While the US is saying no to a digital dollar, other countries are saying yes. Israel and some European countries are trying to make their own digital money. They think it could help with buying stuff online and sending money to other countries.
What Happens Next?
We’ll have to wait and see if Congressman Emmer’s law passes and if the US really says no to a digital dollar. This could change how we use money in the US and how the government keeps an eye on our transactions.
Sources: Cointelegraph, Centre for e-Governance, Payments Dive, Ethio Diaspora Hub, Binance