Key notes
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Governor Ron DeSantis has presented a bill to prohibit the use of CBDCs in Florida.
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The Governor argues that the implementation of CBDCs will inhibit development in the state.
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President Biden has asked the federal government to investigate the potential benefits and risks of CBDCs.
Ron DeSantis Targets CBDCs
Florida Governor Ron DeSantis, who is a potential Republican candidate in the forthcoming US presidential elections, has filed a new legislative proposal in the state to disallow the use of Central Bank Digital Currency (CBDC) within its territory.
The Governor released a statement on Monday, expressing his belief that the Biden administration was considering using CBDCs for ulterior motives and that this would ultimately stifle innovation. He said:
“Today’s announcement will protect Florida consumers and businesses from the reckless adoption of a ‘centralized digital dollar’ which will stifle innovation and promote government-sanctioned surveillance.”
Jimmy Patronis, Florida’s Chief Financial Officer, added:
“Governor DeSantis is ahead of the curve when it comes to protecting individual rights. A Central Bank Digital Currency is the cornerstone of a federal government that could track each and every transaction that happens in the world. There would be no privacy, and if there is no privacy, there are no rights. In the same way, Florida is fighting back against the IRS, we need to fight back against this program. It’s how we protect freedom, liberty, and prosperity.”
The US Examines the Pros and Cons of CBDCs
The new law seeks to prohibit the use of any CBDC issued from any central bank in other parts of the world. DeSantis also urged other states to adopt similar legislation.
This latest cryptocurrency news follows President Joe Biden’s executive order to the federal government to investigate the possible benefits and risks of a CBDC in 2022.
The use of CBDCs has raised privacy concerns. DeSantis also claimed that the CBDC would reduce the role of community banks and credit unions.
The United States is not the only nation to examine the advantages and disadvantages of CBDCs. Several countries around the world, including Nigeria, China, The Bahamas, and Sweden, have released their own versions of the currency.
