Opposition to CBDCs Grows After U.S-Based Cato Argues Against Its ‘Risks’

According to a report by the Cato Institute, a central bank digital currency (CBDC) issued by the United States would pose a risk to the financial privacy and economic freedom of Americans. The report argues that CBDCs raise concerns about citizen privacy, free market destabilization, and cybersecurity and pose a fundamental threat to America's core liberties. The report suggests that there should be no CBDCs in the American economy, and Congress should forbid the Federal Reserve and the Department of the Treasury from issuing any form of CBDC. The report also notes that CBDCs do not provide unique benefits compared to existing private sector alternatives, such as stablecoins and other cryptocurrencies. Republican Congressman Tom Emmer has also warned of the risks of a "surveillance-style CBDC."

(By Suzuki Shillsalot)