Biden Quietly Planning for a Future Where You Don’t Own Money​​

Justin Haskins Heartland Institute
Published April 25, 2023

In Biden’s future, you will not own CBDC money, and you’ll have no privacy either

Under the leadership of President Joe Biden, the White House and the Federal Reserve have started to lay the groundwork for a programmable, trackable, easily manipulated digital currency. It might sound like something from a dystopian science-fiction novel, but it’s all too real, and it could soon change life in America forever.

In March 2022, the Biden administration released a sweeping executive order that directed numerous federal agencies to crack down on digital assets, including on popular cryptocurrencies, as well as to study the potential development of a central bank digital currency (CBDC).

A CBDC would not be a digital version of the existing paper-based dollar, but rather an entirely new currency that would exist exclusively in a digital (meaning an electronic, non-physical) form.

In September 2022, the White House announced the completion of the CBDC reports. Although the administration did not officially propose a CBDC following the release of the reports, it did announce that it had developed “policy objectives” for a U.S. CBDC system.

Biden also directed the leadership of the National Economic Council, National Security Council, Office of Science and Technology Policy and the Treasury Department to “meet regularly” with the Federal Reserve to further design a potential CBDC.

Since the flurry of action in September, the administration has worked tirelessly – and quietly – to advance the creation of a CBDC, through various working groups, speeches and coordinated efforts with non-government groups.

Under the various CBDC proposals floated by the Biden administration and Federal Reserve, a U.S. CBDC would be programmable, traceable and designed to promote various left-wing social goals, such as improving “financial inclusion” and “equity.” It would also be designed to help with “transitioning to a net-zero emissions economy and improving environmental justice.”

Unlike with decentralized cryptocurrencies, such as Bitcoin, every transaction made using a CBDC could be easily traced to individual users by financial institutions, government agents and/or the Federal Reserve (depending on the details of the final design).

Additionally, because a CBDC would be digital and programmable, rules could be imposed that limit spending on approved activities. So, if the federal government or Federal Reserve were to determine that Americans are buying too much gasoline, for example, it could stop people from using CBDCs at gas stations with a few clicks on a computer.

Perhaps most disturbing of all, however, is that under most of the CBDC designs discussed by the Biden administration and Federal Reserve, nearly all forms of ownership of CBDC money would also be strictly limited. Only large institutions such as banks, the federal government, and/or the Federal Reserve would actually have ownership of CBDCs. Everyone else would be prevented from having absolute control over their digital money.