A plaque outside the Santander Bank on Main Street in Asbury Park, New Jersey shown Thursday, January 26, 2023. The Federal Reserve System was created in 1913, just three years before this bank first opened under the name of Asbury Park and Ocean Grove Bank.
© Thomas P. Costello / USA TODAY NETWORK
(Washington, DC) – The House of Representatives passed legislation on Friday that bars the Federal Reserve from issuing digital currency. Although the Fed has not yet moved to issue a digital dollar, the idea persists, and some have expressed concerns.
The Republican-led house passed the bill along party lines. Prominent Republicans — including lawmakers and former President Trump — have said it could lead to government overreach and abuse. For example, government officials could in theory freeze people’s funds or delete them entirely for an alleged offense — something that’s impossible to do with cash.
In the past, the central bank has said it would not move forward with a digital dollar, unless it had Congressional approval.
