The Florida House of Representatives has approved a bill prohibiting the use of central bank digital currencies (CBDCs) within the state, according to a report from The Epoch Times.
The legislation, SB 7054, aligns with Republican Governor Ron DeSantis’s position on CBDCs.
In the bill, the term “central bank digital currency” is explicitly defined and the definition of “money” is amended to exclude CBDCs.
The legislation states, “‘Money’ means a medium of exchange that is currently authorized or adopted by a domestic or foreign government. The term includes a monetary unit of account established by an intergovernmental organization or by agreement between two or more countries. The term does not include a central bank digital currency.”
This adjustment means that CBDCs will not be considered legal tender under Florida’s Uniform Commercial Code.
On Tuesday, the bill was passed in the House with an overwhelming majority of 116-1.
Previously, the Senate approved the legislation with a 34-5 vote.
The bill now proceeds to Governor DeSantis for his signature.
This action follows his call for a ban on CBDCs in March.
A bill analysis refers to President Joe Biden’s March 9 executive order, which directed federal agencies to evaluate and report on the potential advantages and risks of introducing a CBDC in the United States.
The analysis noted, “Ten banks working with an organization that is part of the Federal Reserve Bank of New York recently participated in a test for 12 weeks of an interoperable digital money platform that operates exclusively in U.S. dollar.”
Governor DeSantis expressed concerns about CBDCs being used to control Americans’ behavior on March 20, stating, “How do we know? Because we’ve seen this happen in other parts of the world. Look no further than China, in seeing the impact of centralized digital currency,” Epoch Times notes.
He further emphasized that the People’s Bank of China utilizes its central bank to monitor citizens’ behavior, enabling the surveillance of spending habits and the restriction of access to goods and services.
Read the full bill below: