Donald Trump Vows to Halt CBDCs if Elected

By: Eliza Bennet

Ex-president Donald Trump has pledged to thwart the creation of a Central Bank Digital Currency (CBDC) if elected for a second term. During a speech in New Hampshire on January 17, the former leader passionately objected to a CBDC, stating it could become a tool for government tyranny and a mechanism for absolute control over individual finances. The president declared a CBDC a serious threat to freedom that he would prevent from reaching American shores.

The idea of CBDCs has divided the U.S. into two political camps, with Democrats like Sen. Elizabeth Warren advocating for such currencies due to perceived potential benefits for the banking sector, while Republicans staunchly resist the move toward digital dollars. Meanwhile, the Federal Reserve remains uncertain about the introduction of a CBDC, citing risks to the financial system and raising privacy concerns. Despite this resistance, countries globally are actively exploring the use of CBDCs to balance the rising influence of cryptocurrencies and stablecoins, with 100 countries including the U.K., China, Nigeria, and Russia developing their versions of CBDCs, according to the Human Rights Foundation’s CBDC tracker.