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What a GOP bill banning central digital currency means for consumer banking
The Hill ^ | 07/20/25 5:00 PM ET | Miriam Waldvogel

Posted on 07/20/2025 3:41:19 PM PDT by E. Pluribus Unum

A proposed GOP ban on a central bank digital currency (CBDC) could pump the brakes on grand visions to reshape electronic payment access around the Federal Reserve. 

Republican lawmakers pushed the ban through the House on Thursday over concerns the government could use a CBDC to surveil Americans’ financial transactions. The banking industry has also lobbied against the currency, arguing the public already has sufficient access to easily usable and safe digital money.

“Nobody yet knows whether a CBDC is a good idea or not,” Rep. Jim Himes (D-Conn.), who has pushed for the government to explore a CBDC, said following the House’s vote.

“There is potential for abuse and corruption, but also for extraordinary modernization that could serve unbanked communities, support the primacy of the U.S. dollar, and much more,” he added.

Fed floated idea in 2022 white paper

In 2022, the Federal Reserve issued a study of CBDCs that outlined their risks and benefits. 

“All options for private digital money, including stablecoins and other cryptocurrencies, require mechanisms to reduce liquidity risk and credit risk. But all these mechanisms are imperfect,” the report notes.

A traditional bank account is backed by the Federal Deposit Insurance Corporation, which guarantees individual deposits up to $250,000 in the event a bank fails. But there are also riskier forms of digital financial services.

In 2024, a financial technology company called Synapse collapsed and left customers unable to access some $265 million in deposits.

A CBDC, backed with the full faith and credit of the U.S. government, would be the safest possible digital asset. The Fed paper said that a CBDC could make cross-border payments easier and potentially improve access to banking for low-income households.

(Excerpt) Read more at thehill.com ...


TOPICS: Business/Economy; Government
KEYWORDS: cbdc; centralbank; digitalcurrency; federalreserve
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1 posted on 07/20/2025 3:41:19 PM PDT by E. Pluribus Unum
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To: E. Pluribus Unum

Digital Currency is a horrible idea. With a few keystrokes those in charge of the Digital Currency could render you instantly broke. It is a tyrants dream.


2 posted on 07/20/2025 3:48:50 PM PDT by cpdiii (cane cutter, deckhand, oilfield roughneck, drilling fluid tech, geologist, pilot, pharmacist ,MAGA)
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To: E. Pluribus Unum

Good, and that is the whole idea of it. They NEED to be stopped with this agenda to digitally enslave us.


3 posted on 07/20/2025 3:49:22 PM PDT by Openurmind (AI - An Illusion for Aptitude Intrusion to Alter Intellect. )
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To: E. Pluribus Unum

A CBDC would be fine….if it wasn’t run by the government.

Anytime the government can control (even theoretically) whether or not you get access to your money, it’s a bad day. If they don’t like what you are doing, they can just close down access to your funds. Poof….you are penniless.


4 posted on 07/20/2025 3:51:18 PM PDT by Vermont Lt
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To: E. Pluribus Unum
Himes - from the Tulsi thread today, ranking D on House Intelligence. I’m sure he and his friends would like CBDC.
5 posted on 07/20/2025 3:53:26 PM PDT by takebackaustin
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To: cpdiii

As Emiril loves to say...BAM!


6 posted on 07/20/2025 4:08:45 PM PDT by Bloody Sam Roberts (Perfection is impossible. But if you pursue perfection...you may achieve excellence.)
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To: cpdiii

Just be sure you keep up your Social Credit Score and you’ll be fine, comrade.


7 posted on 07/20/2025 4:24:02 PM PDT by BenLurkin (The above is not a statement of fact. It is opinion or satire. Or both.)
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To: E. Pluribus Unum

I want my electrons and I want them now! There’s so much money to be made in electrons and they’re in such short supply these days!


8 posted on 07/20/2025 4:33:06 PM PDT by Tom Tetroxide (Psalm 146:3 "Do not trust in princes, in the Son of Man, who has no salvation.")
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To: cpdiii

Trump wanted it. Actually demanded it. He knows what’s he is doing.


9 posted on 07/20/2025 4:45:29 PM PDT by napscoordinator (DeSantis is a beast! Florida is the freest state in the country! )
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To: E. Pluribus Unum

That Himes guy was on CBS today calling Tulsi a liar.


10 posted on 07/20/2025 4:50:52 PM PDT by Luke21
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To: E. Pluribus Unum

Let some OTHER COUNTRY find out just how useful a digital currency is when there’s a blackout, a nuclear war, hack, or a solar event. There’s not need to be the guinea pig here.


11 posted on 07/20/2025 4:51:20 PM PDT by BobL
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To: Vermont Lt

A CBDC would be fine….if it wasn’t run by the government.
————
No it’s not- now a Bank ( in collusion with government) will switch you off. People already are being debanked.

The door has been opened to a cashless society, acceptance of this guarantees it will be misused in the future..


12 posted on 07/20/2025 4:54:30 PM PDT by delta7
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To: cpdiii
Digital Currency is a horrible idea. With a few keystrokes those in charge of the Digital Currency could render you instantly broke. It is a tyrants dream.

One-Hundred percent.

13 posted on 07/20/2025 5:07:08 PM PDT by higgmeister (In the Shadow of The Big Chicken! )
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To: E. Pluribus Unum

The socialists desperately want a “ digital currency “.

They want to know what’s in your bank account, and how you spend it.

If they object to your political perspective, they can just freeze your account.


14 posted on 07/20/2025 5:08:44 PM PDT by BrexitBen
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To: BenLurkin
Just be sure you keep up your Social Credit Score and you’ll be fine, comrade.

Just so!   Every person who posts here on FR would be deleted just for that fact.

15 posted on 07/20/2025 5:09:51 PM PDT by higgmeister (In the Shadow of The Big Chicken! )
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To: E. Pluribus Unum

It is by inspection an absolute horrible anti-freedom action. This instrument is designed for tracking all uses of money, where it is, who has it. It can be expired. It can be disabled and taken from you via software. It can have negative rates applied to it. And there is NOTHING you can do to avoid any of these things if it is implemented.


16 posted on 07/20/2025 5:11:05 PM PDT by rigelkentaurus
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To: Openurmind

Use Cash!

The globalists can’t own you.


17 posted on 07/20/2025 5:11:10 PM PDT by BrexitBen
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To: delta7

That’s not how they work in a peer to peer environment.

YOU are your own bank.


18 posted on 07/20/2025 5:28:01 PM PDT by Vermont Lt
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To: BrexitBen

“Use Cash!

The globalists can’t own you.”

I do... I wish more would make the effort to do so. I don’t use digital cards of any kind, not even store rewards cards and I still send out checks for my bills. I don’t buy anything from off the net or use any phone apps.

The only reason folks support it is because they are outright lazy... Too lazy to get cash and handle it and even too lazy to count it out. Pure laziness...


19 posted on 07/20/2025 5:29:55 PM PDT by Openurmind (AI - An Illusion for Aptitude Intrusion to Alter Intellect. )
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To: Openurmind

“I don’t use digital cards of any kind, not even store rewards cards “

I get 2% to 5% back when I do.

“and I still send out checks for my bills. “

I get 2% back on my bills charged to my credit cards.

I save about $10 a month in postage.

My credit union gives share rebates for using bill pay.

At least $600 a year back into my pocket!


20 posted on 07/20/2025 5:38:28 PM PDT by TexasGator (1.here is no Sharknado system)
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