Davidson argues that money should remain a stable store of value, and not be programmable by a central authority. He believes that CBDCs would corrupt money into a tool for coercion and control, thereby giving the central bank too much power over the financial system.
The Federal Reserve is building the financial equivalent of the Death Star.
Central Bank Digital Currency (CBDC) corrupts money into a tool for coercion & control.
Congress must swiftly ban then criminalize any effort to design, build, develop, test or establish a #CBDC. pic.twitter.com/9JWiyj5H2f
— Warren Davidson 🇺🇸 (@WarrenDavidson) July 23, 2023
Davidson’s comments came after San Francisco’s Federal Reserve Bank advertised for a “senior crypto architect” to work on a CBDC project. The possibility of a digital version of the U.S. dollar has stirred controversy in the country and is expected to be a key talking point in the upcoming presidential election.
Other politicians have also expressed concern over a potential Fed-controlled digital dollar. U.S. presidential candidate and Florida Governor Ron DeSantis has vowed to “nix any central bank digital currency” if he became president. He signed a bill in May restricting the use of CBDCs in the state. Meanwhile, Republican Tom Emmer has warned against state-controlled digital money, saying that a programmable CBDC would be “easily weaponized” as a spying tool to “choke out politically unpopular activity.”
In response to the growing debate around CBDCs, Davidson introduced the CBDC Anti-Surveillance State Act in February, which aims to halt efforts to strip Americans of their right to financial privacy. The bill was endorsed by Texas Senator Ted Cruz, who introduced his own CBDC blocking bill in March.
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