GOP lawmaker sounds alarm over global digital currency push
"Only Congress could lawfully establish a Central Bank Digital Currency in the United States, but that hasn’t stopped CBDC advocates from working to normalize this Orwellian payment system," he said.
Ohio Republican Rep. Warren Davidson on Tuesday warned his colleagues against a mounting push for a central bank digital currency (CBDC) that he says poses a threat to American privacy.
In a letter to his fellow lawmakers, Davidson called attention to an "international effort across governments to pursue a central bank digital currency (CBDC)" and noted an existing pilot program under the Federal Reserve that he said would "eradicate the privacy and freedom inherent in cash transactions."
Davidson warned that advocates of a CBDC seek to amend the Uniform Commercial Code at the state level to widen the definition of "money" and potentially enable a government digital currency.
The GOP lawmaker highlighted two proposed changes, including the creation of a "controllable electronic record" that would make it easier for creditors to accept Bitcoin and other cryptocurrencies in transactions. The second change would be to create a carveout in the definition for electronic records that the government created, which Davidson asserts would enable a CBDC.
"Collectively, these changes create a distinction between types of digital assets," he noted. "However, the willingness to favor government-issued CBDCs within private commercial transactions is alarming."
The Ohio Republican further contended that the authority to establish a CBDC rests with Congress rather than states. In a tweet announcing his letter, Davidson asserted that "[o]nly Congress could lawfully establish a Central Bank Digital Currency in the United States, but that hasn’t stopped CBDC advocates from working to normalize this Orwellian payment system."
Ben Whedon is an editor and reporter for Just the News. Follow him on Twitter.