Regulation of cryptocurrencies and the blockchain technology propelling them is a hot topic. With potent concerns about privacy and government surveillance, legislation is continually being proposed and contested on the matter. One in the spotlight today is the ‘CBDC Anti-Surveillance State Act’, reintroduced by Rep. Tom Emmer – aiming to limit the power of unelected authorities in issuing a central bank digital currency (CBDC). Emmer’s assertion is that such financial tools could be used inappropriately as surveillance resources, infringing on the American way of life.
As interpreted by Emmer and his backers, CBDCs have immense translucence. This could enable unwarranted access to personal financial data, an intrusion on individual privacy. Such fears, however, might be offset by the potential for improved monitoring of transactions in crime prevention. The move is perceived to potentially stifle the free market, as the policy also restricts the central bank’s ability to enact any monetary measures using CBDCs.
Yet, the Federal Reserve’s minting of a programmable digital dollar, as the proposed CBDC is often referred to, could boost efficiencies in financial transactions. The speed, security, and sheer conveniences may outweigh the apprehensions. Fast transactions without delays for clearance or unwanted interference can boost financial efficiency massively. Plus, having such currency managed by a trusted authority, like the Federal Reserve, can engender confidence in the functionality and legitimacy of the currency.
U.S. Presidential candidate, Robert F. Kennedy Jr., resonates with Emmer’s sentiments. Citing the potential misuse of these currencies as a tool for the government to stifle dissent by restricting access to funds, they stand as staunch opposers to CBDCs. Likewise, Senators French Hill, Warren Davidson, and Mike Flood have thrown their weight behind the CBDC Anti-Surveillance State Act.
Still, the consensus on these proposed regulations is far from reached, and the debate rages on. Could crypto lose its candidate amidst the rising regulations, or could privacy concerns form a rallying point for crypto enthusiasts? The upcoming weeks will reveal these answers as we follow keenly and continue to bring you up-to-the-minute updates on crypto legislations.
Source: Cointelegraph
