EddieJayonCrypto
5 Dec 24
The Missouri Senate introduced SB 194, proposing to ban central bank digital currencies (CBDCs) as legal tender within the state. The bill seeks to prohibit public entities from accepting or using CBDCs and modifies the definition of "money" under the Uniform Commercial Code to exclude these digital...
The Missouri Senate introduced SB 194, proposing to ban central bank digital currencies (CBDCs) as legal tender within the state. The bill seeks to prohibit public entities from accepting or using CBDCs and modifies the definition of "money" under the Uniform Commercial Code to exclude these digital currencies. SB 194 also outlines provisions affecting Missouri's financial policies, including the requirement for the State Treasurer to hold gold and silver reserves. Additionally, it reduces tax liability for gold and silver and prohibits public entities from participating in CBDC-related tests or pilot programs conducted by federal agencies. These actions reflect growing concerns about the implications of CBDCs on financial privacy, monetary policy, and state sovereignty. The bill explicitly prohibits public entities from participating in any tests or pilot programs related to CBDCs conducted by the Federal Reserve or other federal agencies. This stance reflects growing concerns among some state legislators about the implications of CBDCs on financial privacy, monetary policy, and state sovereignty. The modification of the Uniform Commercial Code’s definition of “money” to exclude CBDCs is a notable legal shift. Earlier in 2024, Missouri’s legislature considered related measures regarding digital currencies. House Bill 2780, introduced in February, sought to prevent public entities from accepting or using CBDCs and passed the House in April with substantial support. The Senate also reviewed companion legislation, such as SB 1352, indicating a sustained legislative focus on regulating digital currencies at the state level. These actions reflect the broader national and global discussions on the adoption and regulation of CBDCs. While some view CBDCs as an evolution in digital payment systems with the potential to enhance efficiency and financial inclusion, others express concerns over centralized control, privacy issues, and impacts on traditional banking systems. By introducing SB 194, Missouri positions itself among states actively scrutinizing the role of government-issued digital currencies in their economies. Additionally, Hut 8 announced its plan to fund a Bitcoin reserve plan via a $500 million equity offering. Fed chair Powell considers Bitcoin as digital gold, not a competitor to the US dollar. Congressman French Hill vows to probe banking exclusion of crypto businesses, and New York Mayor Eric Adams has the last laugh as Bitcoin hovers near $100k. Lastly, Bitcoin ETF options are emerging as a new tool for risk management and speculation.