Key Takeaways
- Davidson calls for the ban and criminalization of any efforts related to designing, building, developing, testing, or implementing CBDCs in the United States.
- He argued that CBDCs could become tools for coercion and control, paving the way for a dark future that violates data privacy rights and undermines individual freedoms.
In a recent tweet, US Congressman Warren Davidson expressed deep concerns over the potential introduction of Central Bank Digital Currencies (CBDCs), comparing them to the ominous “Death Star.”
Davidson argued that CBDCs could become tools for coercion and control, paving the way for a dark future that violates data privacy rights and undermines individual freedoms. He firmly advocated for a swift ban and criminalization of any efforts related to designing, building, developing, testing, or implementing CBDCs in the United States.
Central to Davidson’s position is the belief that money should serve as a stable store of value and should not be programmable by any central authority. He contended that sound money should allow for permission-less peer-to-peer transactions, emphasizing the importance of maintaining a decentralized and open financial system. “Sound money should facilitate permission-less peer-to-peer transactions,”
Joining the ranks of critics, United States presidential candidate and Florida Governor Ron DeSantis also expressed opposition to CBDCs, pledging to ban them entirely in the US if elected to the highest office. These strong stances against CBDCs come amid a significant rise in CBDC projects globally, with over 100 countries actively researching the technology and at least 39 nations already piloting or experimenting with CBDC-related initiatives.
Earlier this year, Republican House Majority Whip Tom Emmer (R-MN) also rallied against CBDcs, calling the technology an affront to American values of privacy, individual sovereignty, and free markets.
In February, Emmer also introduced the “CBDC Anti-Surveillance State Act,” which bans the Fed from issuing a digital dollar “directly to anyone,” bar the central bank from implementing monetary policy based on a CBDC, and requires transparency for projects related to a digital dollar.
In response to the growing interest, the US Federal Reserve is currently evaluating the potential impact of a digital dollar. The central bank has undertaken multiple studies, pilot tests, and experiments to assess the technology’s opportunities and limitations. However, a consensus among Americans remains elusive as they await further clarity on the structure of a potential US CBDC and its potential impact on the average citizen.
