Senators Propose Bill Restricting Use of Chinese Digital Currency in U.S. – ‘This Is a Significant Financial and Surveillance Risk’ – Regulated Bitcoin News

Several U.S. lawmakers have introduced a bill that would bar the country’s app platforms from hosting apps that trade using China’s central bank digital currency, the digital yuan. “The Chinese Communist Party will use its digital currency to control and spy on anyone who uses it. We cannot give China that chance,” said the senator who introduced the bill.

Protecting Americans from the Authoritarian Digital Currency Act

U.S. Senator Tom Cotton (R-Arkansas) on Wednesday introduced the Protecting Americans from Authoritarian Digital Currency Act. The bill was co-sponsored by Senators Mike Braun (R-Indiana) and Marco Rubio (R-Florida).

According to the text of the bill, the legislation aims to “prohibit the use of the digital currency payment system operated by the government of the People’s Republic of China for other purposes.”

Senator Cotton commented:

The Chinese Communist Party will use its digital currency to control and monitor anyone who uses it. We cannot give China this chance.

Specifically, the legislation prohibits “application platforms in the United States from hosting applications that allow transactions using the Chinese Communist Party’s digital yuan (e-CNY),” the announcement detailed.

“The Chinese Communist Party’s digital yuan allows direct control and access to an individual’s financial life. We cannot allow this authoritarian regime to use their state-controlled digital currency as a tool to penetrate our economy and the private information of American citizens,” Senator Braun said.

Senator Rubio argued that “it makes no sense to associate ourselves with a digital currency that hates us and wants to replace our genocidal regime on the world stage,” emphasizing:

This is a significant financial and surveillance risk that the United States cannot take.

China has been actively developing and testing its central bank digital currency (CBDC).

According to the latest data According to the People’s Bank of China (PBOC), the digital yuan had 261 million unique users by the end of 2021. In addition, transactions using e-CNY were worth over 87.5 billion yuan ($13.8 billion). In April, China’s central bank added more test cities for the digital yuan.

What do you think of the Protect Americans from Authoritarian Digital Currency Act? Let us know in the comments section below.

Kevin Helms

As an Austrian economics student, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network effects, and the intersection between economics and cryptography.

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