Posted on Friday, March 7, 2025

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by AMAC Action

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AMAC Action has announced its strong support for the Anti-CBDC Surveillance State Act, recently reintroduced by Majority Whip Tom Emmer (R-MN). This legislation aims to safeguard Americans’ financial privacy by preventing the issuance of a central bank digital currency (CBDC) without explicit Congressional authorization.

CBDCs are digital forms of sovereign currency issued and controlled by governments. Unlike decentralized cryptocurrencies like Bitcoin, CBDCs operate on centralized digital ledgers, granting governments direct oversight of – and control over – financial transactions. CBDC would grant government bureaucrats the ability to see every purchase Americans make and violate their right to financial privacy and security.

In a letter to Rep. Emmer, AMAC Action Senior Vice President Andy Mangione stated that CBDCs “pose a significant threat to the financial independence and personal freedoms of older Americans.” He further noted that many seniors rely on cash and traditional banking methods, and a government-controlled digital currency could diminish their ability to manage their finances by forcing them to learn to navigate needlessly complex new systems.

Mangione further expressed concerns that a CBDC could enable bureaucrats to “track, monitor, and even limit seniors’ financial transactions,” setting a dangerous precedent reminiscent of authoritarian regimes around the world like Communist China.

The Anti-CBDC Surveillance State Act seeks to address these concerns by:

• Prohibiting the Federal Reserve from issuing a CBDC directly to individuals, thereby preventing the central bank from acting as a retail bank with access to personal financial data.
• Restricting the Fed from indirectly issuing a CBDC through intermediaries or third parties, ensuring that unelected officials cannot impose a financial system that threatens individual sovereignty.
• Requiring that any decision to implement a CBDC receives explicit Congressional authorization, upholding the system of checks and balances integral to republican self-governance.

In a press release, Rep. Emmer underscored the importance of these measures, stating, “If not designed to be open, permissionless, and private—resembling cash—a government-issued CBDC is nothing more than an Orwellian surveillance tool that would be used to erode the American way of life.” He also highlighted the proactive stance of President Trump, who issued an executive order prohibiting federal agencies from exploring a CBDC, emphasizing the need to codify this directive into law to prevent future administrations from potentially misusing the technology.

The global landscape reflects a growing interest in CBDCs. A study by the Atlantic Council revealed that 134 countries, representing 98 percent of the world’s economy, are exploring or advancing their digital currencies. Notably, China’s digital yuan pilot has processed transactions totaling approximately $987 billion.

However, the rapid adoption of CBDCs worldwide raises concerns about privacy and the potential for increased government surveillance.

AMAC has also noted the heightened risks of financial scams and cybersecurity threats associated with a shift to a government-controlled digital currency system. Seniors, already vulnerable to such threats, could face increased risks to their hard-earned savings. AMAC firmly believes that the federal government should not have the authority to dictate how or where Americans spend their money.

As the debate over CBDCs continues, AMAC’s support for the Anti-CBDC Surveillance State Act highlights the critical importance of safeguarding financial privacy and ensuring that technological advancements do not come at the expense of individual freedoms.