The post Florida Declares Ban on CBDCs as Governor Signs Legislation to Outlaw the Use of CBDC appeared first on Coinpedia Fintech News
In a landmark move that marks a significant milestone in the United States’ digital currency landscape, Florida has officially outlawed Central Bank Digital Currencies (CBDCs). Governor Ron DeSantis signed the unprecedented legislation into law today, establishing Florida as the first US state to take such a decisive stance on the use of CBDCs.
Florida Ends the Use of CBDC
On Friday, Florida’s Governor, Ron DeSantis, put pen to paper on bill HB 7049, effectively outlawing any Central Bank Digital Currency (CBDC) sanctioned by the U.S. from use within the state of Florida.
The legislation blocks the utilization of a federally endorsed CBDC as a recognized form of currency under Florida’s Uniform Commercial Code (UCC). It further fortifies safeguards against a centralized global currency by disallowing any CBDC from a foreign reserve or approved central bank. Moreover, the bill encourages other states with similar viewpoints to consider enacting comparable laws.
Florida’s 46th governor, known for his outspoken views, has frequently expressed his concerns about potential severe pitfalls that could accompany a government-regulated digital currency. Accordingly, in March this year, DeSantis unveiled new legislation aiming to prohibit the use of such government-sanctioned digital currencies.
The Florida House of Representatives has shown strong support for the anti-CBDC bill SB 7049, passing it with a near-unanimous vote of 116-1. This endorsement follows the Florida Senate’s approval a week earlier, which recorded a majority of 34-5. Governor DeSantis has consistently criticized CBDC initiatives and has affirmed Florida’s stand against the incorporation of “woke politics.” Given his strong sentiments and the fact that he requested the bill’s creation in March, it comes as no surprise that he would sign the legislation.
“Once they then have the ability to run a central bank digital currency, they’re going to be able to have the window into what you’re doing with the money and have the ability to control where that money is going.”
US Witnesses a Slowdown in CBDC
Specifically, the bill aims to outlaw the recognition of any CBDC as a form of legal tender under the Florida Uniform Commercial Code. Besides this, the bill establishes protective measures to shield the state from any external pressures to adopt a central currency. Furthermore, Governor DeSantis has called upon other state governments within the United States to collaborate in introducing comparable laws.
“The Biden administration’s efforts to inject a Centralized Bank Digital Currency is about surveillance and control,” said DeSantis in a press release when the bill was first introduced.
DeSantis suggested that a CBDC under federal control would provide government authorities with visibility into all consumer activities, potentially even allowing them to restrict access to goods and services.
He emphasized that the CBDC could lead to an enormous shift of power from individual consumers to a central authority, a concept he considers fundamentally at odds with a free society.