TechFlow reports that the U.S. House Committee on Financial Services is moving forward with legislation aimed at blocking central banks from issuing digital currencies. According to Chairman Patrick McHenry's announcement, the committee will hold a markup session on September 20 for two bills concerning a potential digital dollar. A markup is a meeting where lawmakers discuss the details of proposed legislation, serving as a critical step before the bills are formally submitted to the House.
One bill is the "Digital Dollar Pilot Prevention Act" (HR 3712), which prohibits the Federal Reserve from launching a pilot program to test a central bank digital currency (CBDC) without congressional approval. The bill was introduced in May by Representative Alex Mooney.
The second piece of legislation is an amendment to the Federal Reserve Act, which would prohibit Federal Reserve banks from directly offering certain products or services to individuals and ban the use of CBDCs for monetary policy and other purposes.
