Biden’s Digital Dollar Plan Poses Significant Risk to Freedom

The Biden administration released a broad govt order on March 9 that directed a number of government agencies to create plans to handle cryptocurrencies such as Bitcoin and to provide an in-depth plan to examine the possibility of creating a central bank digital currency (CBDC).

It will be the first time in over a century, if the Federal Reserve and the federal authorities have decided to launch a CBDC.

The manager’s order leaves the door wide open for federal firms to advocate for the creation of a virtual greenback. However, there is strong evidence that this will not happen and the White House will propose a formal plan for a foreign currency digital by the end of the year.

Federal Reserve has studied the possibility of launching a digital currency. The Federal Reserve published a detailed report on digital currency in early 2022. This was “Step One in a public dialog between the Federal Reserve, stakeholders and central financial institutions about digital currencies.”

Biden’s government order even specifies when the secretary of Treasury, chairman of the Federal Reserve, and the lawyer normal should present a legislative proposal to the White House for a digital currency: within 210 days, or about seven months.

A digital dollar can in some ways be like the foreign currency we print today. The Federal Reserve will continue to set policies and interest rates tied to foreign currency, and people can pay suppliers with their existing bank accounts, credit cards and debit cards.

There are still substantial differences. A digital dollar would not, by definition, exist in printed form. Once the switch to digital currency is complete, you will not be able to withdraw physical money from an account that includes your digital foreign money at an ATM or financial institution.

A digital foreign currency could be designed so that the Federal Reserve and/or authorities have substantial control over its use. Federal Reserve could, for example, create digital “dollars” at the push of a single button and distribute them as needed. It could also take digital “dollars” away from banks using a variety of financial instruments.

Banks, federal agencies and the Federal Reserve can track digital dollars. They could be programmed to control what people should purchase, how much they can buy at one time, or other variables.

In brief, the creation of a digital currency could present the largest expansion of federal power in history, depending on its design.

In the weeks and months to come, supporters of a virtual greenback will likely claim that these issues are speculative or “conspiracy theory”. However, there are many reasons to believe a digital dollar, such as the one being considered by the White House, can be used to micromanage U.S. economy–and the whole of society.

In the latest government order from the Biden administration, it is stated that “monetary inclusion” and “fairness” as well as limiting “local climate change and air pollution”, should be major issues in developing a new central bank digital foreign currency and digital asset regulation schemes.

In a background call with the media concerning the government order, an “senior official” (whose title wasn’t revealed in the transcript of the name) promised that the White House will “proceed with all stakeholders” to develop a new digital foreign currency, “including business, labor and consumer groups, environmental teams, international allies and partners.”

Why would there be so many “stakeholders”, if the Biden administration had not planned to make that CBDC programmable before?

People in all places should be concerned about the emergence of a digital currency, regardless of their political and ideological beliefs. Once a digital currency is established, the government and/or Federal Reserve officers will have more power than ever before to control, monitor, and coerce individuals and U.S. businesses–even without new laws being approved by Congress.

The majority of people don’t want the Fed and authorities to have so much power over their lives. One query is whether or not sufficient individuals will discover out about the digital greenback and take motion earlier than it’s too late.

Justin Haskins (Jhaskins@heartland.org) is the director of the Socialism Analysis Middle at The Heartland Institute and the co-author of the New York Occasions bestselling e-book The Nice Reset: Joe Biden and the Rise of Twenty-First Century Fascism.


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