Heritage Celebrates House Passage of Anti-CBDC Legislation

Press Releases · May 23, 2024

WASHINGTON—Heritage Action, a conservative grassroots organization with two million activists nationwide, commended the House of Representatives today for passing the CBDC Anti-Surveillance State Act (H.R. 5403), legislation banning the federal government from issuing a Central Bank Digital Currency (CBDC).

Heritage Action Executive Vice President Ryan Walker released the following statement celebrating the win following Heritage Action’s Key Vote in support of the bill:

“The House’s passage of the CBDC Anti-Surveillance State Act is a victory for all Americans’ individual liberty and financial privacy. Our weaponized government has repeatedly proven its willingness to target Americans who dare to break from the regime. A federal CBDC would give bureaucrats another tool for political intimidation and surveillance.

“Heritage Action’s nationwide grassroots network led the fight to urge representatives to cosponsor and support this bill that keeps the government out of our wallets. We commend Whip Emmer and the members who voted for financial freedom.”

Economist Peter St. Onge, a visiting fellow for economic policy and Mark A. Kolokotrones Fellow in Economic Freedom at The Heritage Foundation said:

“The Heritage Foundation applauds the passage of H.R. 5403, the CBDC Anti-Surveillance State Act. The Biden administration is trying to sneak in a totalitarian CBDC to replace the U.S. dollar with a government-run cryptocurrency that would surveil every transaction, making a mockery of the fourth amendment and threatening our fundamental liberties. In addition, a CBDC would threaten our economy and our already tottering financial system, enabling inflation and the theft of Americans' life savings on a scale we have never before seen in this country.

“Importantly, H.R. 5403 bans the so-called “indirect” or “intermediated” CBDC that uses banks to hide the fist of government and do to money what Big Tech censorship collusion has done to free speech. Polling says over 80% of Americans don't want to replace the dollar with a government cryptocurrency, they want the dollar restored to the store of value it has been for generations.”

A CBDC is a government-run cryptocurrency that replaces the dollars in your bank and wallet.

The CBDC Anti-Surveillance State Act, introduced by Sen. Ted Cruz (R-Texas) and Majority Whip Tom Emmer (R-Minn.), prohibits a CBDC from being issued by the government or Federal Reserve, including an “intermediated” CBDC—using banks or other institutions as intermediary. At the same time, the bill permits private stablecoins which offer parallel, not replacements, to money and payment systems.

Following Heritage Action’s Key Vote urging cosponsorship of the bill, more than 100 additional representatives signed on, pushing the number of cosponsors in the House to 165.