The CBDC Anti-Surveillance State Act (H.R. 1919) is a U.S. legislative proposal aimed at prohibiting the Federal Reserve from issuing a Central Bank Digital Currency (CBDC) directly to individuals or using it for monetary policy, citing concerns over financial surveillance and privacy. Below is a detailed overview based on information from web sources and posts on X, addressing its status and potential implications:
### Background and Details of the Bill
- Introduced by: House Majority Whip Tom Emmer (R-MN) in March 2025, with a companion bill in the Senate by Ted Cruz (R-TX). It builds on earlier versions, like H.R. 5403 from the 118th Congress.
- Key Provisions:
- Prohibits the Federal Reserve from issuing a CBDC directly to individuals, preventing it from acting as a retail bank.[](https://www.congress.gov/bill/118th-congress/house-bill/5403/text)[](https://emmer.house.gov/press-releases?ID=1007FB9A-E294-4E99-AE98-6EAAC97EB4CD)
- Bans the use of a CBDC for monetary policy implementation.[](https://www.congress.gov/bill/118th-congress/house-bill/5403/text)
- Prohibits indirect issuance through financial institutions or intermediaries.[](https://www.congress.gov/bill/118th-congress/house-bill/5403/text)
- Requires explicit Congressional authorization for any CBDC issuance.[](https://www.axios.com/2024/05/23/cbdc-house-central-bank-digital-currencies)
- Defines a CBDC as a digital form of currency that is a direct liability of the Federal Reserve and widely available to the public.[](https://www.congress.gov/committee-report/119th-congress/house-report/92)
- Supporters: The bill has significant Republican support, with 114 House cosponsors in the 119th Congress, including Reps. French Hill, Marjorie Taylor Greene, and Andy Biggs. It is endorsed by organizations like the American Bankers Association (ABA), Independent Community Bankers of America (ICBA), Heritage Action, Blockchain Association, and Club for Growth, who argue it protects privacy and prevents government overreach.[](https://emmer.house.gov/press-releases?ID=1007FB9A-E294-4E99-AE98-6EAAC97EB4CD)[](https://emmer.house.gov/press-releases?ID=E5F1A85D-F204-496A-9AAC-9EEFB6D01DD7)
- Opposition: Democrats, including Rep. Maxine Waters and Rep. Stephen Lynch, criticize the bill as anti-innovation, arguing it could hinder U.S. competitiveness in global financial systems. The Atlantic Council warns that banning CBDCs could weaken the U.S. dollar’s global dominance and allow countries like China to set digital currency standards.[](https://www.theblock.co/post/296361/us-house-of-representatives-pass-republican-led-anti-cbdc-bill-along-partisan-lines)[](https://www.atlanticcouncil.org/blogs/new-atlanticist/dont-let-the-us-become-the-only-country-to-ban-cbdcs/)
### Current Status (as of July 17, 2025)
- House Progress:
- The bill passed the House Financial Services Committee on April 2, 2025, with a 27-22 vote, advancing it to the House floor.[](https://decrypt.co/313287/us-house-committee-votes-anti-cbdc-bill)[](https://cointelegraph.com/news/us-lawmakers-vote-advance-anti-cbdc-bill)
- On July 16, 2025, the House passed a procedural vote to advance the bill alongside other crypto-related legislation (CLARITY Act and GENIUS Act), indicating momentum.[](https://bitcoinmagazine.com/news/us-house-passes-motion-to-advance-clarity-genius-and-anti-cbdc-act)
- In the 118th Congress, a similar bill (H.R. 5403) passed the House on May 23, 2024, with a 216-192 vote (213 Republicans and 3 Democrats in favor).[](https://www.axios.com/2024/05/23/cbdc-house-central-bank-digital-currencies)[](https://www.theblock.co/post/296361/us-house-of-representatives-pass-republican-led-anti-cbdc-bill-along-partisan-lines)
- Senate Outlook: The bill faces challenges in the Senate, where Democrats hold a majority. A companion bill (S.3801) introduced by Sen. Ted Cruz in 2024 has not progressed significantly, and analysts suggest it is unlikely to pass in a Democrat-controlled Senate.[](https://www.theblock.co/post/296361/us-house-of-representatives-pass-republican-led-anti-cbdc-bill-along-partisan-lines)[](https://www.coindesk.com/policy/2023/09/20/us-cbdc-efforts-opposed-in-legislation-advanced-by-house-republicans)
- Executive Action: President Trump signed an executive order in January 2025 banning federal agencies from creating or promoting CBDCs, aligning with the bill’s goals. However, executive orders can be reversed by future administrations, making legislative codification a priority for supporters.[](https://www.gadgets360.com/cryptocurrency/news/anti-cbdc-bill-cleared-us-house-financial-services-committee-usd-donald-trump-8088087)
### Recent Developments
- Crypto Week (July 2025): The House’s procedural vote on July 16, 2025, to advance the Anti-CBDC bill alongside the CLARITY and GENIUS Acts was initially stalled due to opposition from some Republicans (e.g., Reps. Marjorie Taylor Greene and Andy Biggs) who wanted a stronger CBDC ban included in the GENIUS Act. After negotiations involving President Trump, most holdouts agreed to support the bills, leading to the procedural vote’s passage.[](https://cointelegraph.com/news/us-house-crypto-bill-vote-moved-after-stall-over-cbdc-ban-demand)[](https://bitcoinmagazine.com/news/us-house-passes-motion-to-advance-clarity-genius-and-anti-cbdc-act)
- Sentiment on X: Posts on X reflect strong support among crypto enthusiasts and privacy advocates, viewing the bill as a safeguard against government surveillance and a win for decentralization. Users like @thecoinzonecom and @CCNDotComNews emphasize its role in preventing a “government-controlled wallet” or “programmable surveillance coin.”
### Potential Implications (Iska Kya Hoga)
1. If the Bill Passes:
- Privacy Protection: Supporters argue it would prevent the Federal Reserve from creating a CBDC that could track Americans’ financial transactions, preserving financial privacy.[](https://emmer.house.gov/press-releases?ID=1007FB9A-E294-4E99-AE98-6EAAC97EB4CD)[](https://www.gadgets360.com/cryptocurrency/news/anti-cbdc-bill-cleared-us-house-financial-services-committee-usd-donald-trump-8088087)
- Impact on Innovation: Critics, including Democrats and the Atlantic Council, warn that a blanket ban could stifle U.S. innovation in digital currencies, cede global leadership to countries like China (with its eCNY), and weaken the U.S. dollar’s role in global trade.[](https://www.ledgerinsights.com/the-flaws-in-the-cbdc-anti-surveillance-bill/)[](https://www.atlanticcouncil.org/blogs/new-atlanticist/dont-let-the-us-become-the-only-country-to-ban-cbdcs/)
- Banking System: The ABA and ICBA argue that a CBDC could disintermediate commercial banks, reducing their ability to lend and impacting economic growth.[](https://bankingjournal.aba.com/2024/05/house-passes-bill-to-prevent-fed-from-issuing-a-cbdc/)[](https://emmer.house.gov/press-releases?ID=E5F1A85D-F204-496A-9AAC-9EEFB6D01DD7)
- Crypto Market: A ban could bolster decentralized cryptocurrencies like Bitcoin by eliminating a government-backed alternative, potentially attracting more investment and liquidity to the crypto sector.
2. If the Bill Fails:
- Continued Research: The Federal Reserve could continue exploring CBDCs, though Chair Jerome Powell has stated it would not issue one without Congressional approval.[](https://www.theblock.co/post/296361/us-house-of-representatives-pass-republican-led-anti-cbdc-bill-along-partisan-lines)[](https://www.atlanticcouncil.org/blogs/new-atlanticist/dont-let-the-us-become-the-only-country-to-ban-cbdcs/)
- Global Competition: The U.S. risks falling behind countries like China, India, and the UAE, which are actively developing CBDCs. This could impact the dollar’s dominance in global payments.[](https://www.theblock.co/post/296361/us-house-of-representatives-pass-republican-led-anti-cbdc-bill-along-partisan-lines)[](https://www.atlanticcouncil.org/blogs/new-atlanticist/dont-let-the-us-become-the-only-country-to-ban-cbdcs/)
- Privacy Risks: Without clear privacy safeguards, a future U.S. CBDC could raise surveillance concerns, especially if designed without cash-like anonymity.[](https://www.ledgerinsights.com/the-flaws-in-the-cbdc-anti-surveillance-bill/)
3. Challenges and Uncertainties:
- Senate Hurdle: The bill’s passage in the Senate is uncertain due to Democratic opposition and the lack of a strong counterpart bill.[](https://www.theblock.co/post/296361/us-house-of-representatives-pass-republican-led-anti-cbdc-bill-along-partisan-lines)
- Broad Wording: Critics note that the bill’s vague definition of a CBDC could inadvertently block wholesale CBDCs (used between institutions), potentially disrupting monetary policy or bank reserves.[](https://www.ledgerinsights.com/the-flaws-in-the-cbdc-anti-surveillance-bill/)
- Geopolitical Impact: A U.S. ban could signal to other countries that the U.S. is not a reliable partner in setting global digital currency standards, potentially reducing its influence.[](https://www.atlanticcouncil.org/blogs/new-atlanticist/dont-let-the-us-become-the-only-country-to-ban-cbdcs/)
### Conclusion
The CBDC Anti-Surveillance State Act is advancing in the House with strong Republican support and aligns with President Trump’s executive order, but its fate in the Senate remains uncertain due to partisan divides. If passed, it could protect financial privacy and boost decentralized cryptocurrencies but risks isolating the U.S. in the global race for digital currency innovation. If it fails, the Federal Reserve may continue CBDC research, but any issuance would still require Congressional approval, and privacy concerns would need addressing. Posts on X highlight strong grassroots support for the bill among crypto advocates, but its broader impact depends on Senate action and global developments in digital currencies.[](https://emmer.house.gov/press-releases?ID=1007FB9A-E294-4E99-AE98-6EAAC97EB4CD)[](https://www.atlanticcouncil.org/blogs/new-atlanticist/dont-let-the-us-become-the-only-country-to-ban-cbdcs/)
For the latest updates, you can follow discussions on X or check legislative trackers like Congress.gov. If you want me to search for more recent developments or specific aspects, let me know!$BTC #BTC #ETH #CBDC
