II
119THCONGRESS
1
STSESSION S. 1124
To amend the Federal Reserve Act to prohibit the Federal reserve banks
from offering certain products or services directly to an individual, to
prohibit the use of central bank digital currency for monetary policy,
and for other purposes.
IN THE SENATE OF THE UNITED STATES
MARCH25, 2025
Mr. C
RUZ(for himself, Mr. BUDD, Mr. CRAMER, and Mr. TILLIS) introduced
the following bill; which was read twice and referred to the Committee
on Banking, Housing, and Urban Affairs
A BILL
To amend the Federal Reserve Act to prohibit the Federal
reserve banks from offering certain products or services
directly to an individual, to prohibit the use of central
bank digital currency for monetary policy, and for other
purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Anti-CBDC Surveil-4
lance State Act’’. 5
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•S 1124 IS
SEC. 2. PROHIBITION ON FEDERAL RESERVE BANKS RE-1
LATING TO CERTAIN PRODUCTS OR SERV-2
ICES FOR INDIVIDUALS AND PROHIBITION 3
ON DIRECTLY ISSUING A CENTRAL BANK DIG-4
ITAL CURRENCY. 5
Section 16 of the Federal Reserve Act (12 U.S.C. 411 6
et seq.) is amended by adding at the end the following: 7
‘‘A Federal reserve bank may not— 8
‘‘(1) offer products or services directly to an in-9
dividual; 10
‘‘(2) maintain an account on behalf of an indi-11
vidual; or 12
‘‘(3) issue a central bank digital currency, as 13
defined in section 10(11)(D), or any digital asset 14
that is substantially similar under any other name 15
or label.’’. 16
SEC. 3. PROHIBITION ON FEDERAL RESERVE BANKS INDI-17
RECTLY ISSUING A CENTRAL BANK DIGITAL 18
CURRENCY. 19
Section 16 of the Federal Reserve Act (12 U.S.C. 411 20
et seq.), as amended by section 2, is further amended by 21
adding at the end the following: 22
‘‘A Federal reserve bank may not offer a central bank 23
digital currency, as defined in section 10(11)(D), or any 24
digital asset that is substantially similar under any other 25
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name or label, indirectly to an individual through a finan-1
cial institution or other intermediary.’’. 2
SEC. 4. PROHIBITION WITH RESPECT TO CENTRAL BANK 3
DIGITAL CURRENCY. 4
Section 10 of the Federal Reserve Act (12 U.S.C. 241 5
et seq.) is amended by inserting before paragraph (12) the 6
following: 7
‘‘(11) P
ROHIBITION WITH RESPECT TO CEN -8
TRAL BANK DIGITAL CURRENCY .— 9
‘‘(A) I
N GENERAL.—The Board of Gov-10
ernors of the Federal Reserve System may not 11
test, study, develop, create, or implement a cen-12
tral bank digital currency, or any digital asset 13
that is substantially similar under any other 14
name or label. 15
‘‘(B) M
ONETARY POLICY.—The Board of 16
Governors of the Federal Reserve System and 17
the Federal Open Market Committee may not 18
use a central bank digital currency to imple-19
ment monetary policy, or any digital asset that 20
is substantially similar under any other name or 21
label. 22
‘‘(C) E
XCEPTION.—Subparagraph (A) and 23
the eighteenth and nineteenth undesignated 24
paragraphs of section 16 may not be construed 25
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to prohibit any dollar-denominated currency 1
that is open, permissionless, and private, and 2
fully preserves the privacy protections of United 3
States coins and physical currency. 4
‘‘(D) C
ENTRAL BANK DIGITAL CURRENCY 5
DEFINED.—In this paragraph, the term ‘central 6
bank digital currency’ means a form of digital 7
money or monetary value that is— 8
‘‘(i) denominated in the national unit 9
of account; 10
‘‘(ii) a direct liability of the Federal 11
Reserve System; and 12
‘‘(iii) widely available to the general 13
public.’’. 14
SEC. 5. SENSE OF CONGRESS. 15
It is the sense of Congress that the Board of Gov-16
ernors of the Federal Reserve does not have the authority 17
to issue a central bank digital currency, or any digital 18
asset that is substantially similar under any other name 19
or label, and will not have such authority unless Congress 20
grants such authority pursuant to section 8 of article I 21
of the Constitution of the United States. 22
Æ
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