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12 U.S.C. § 423Central bank digital currency

submitted 113 years ago by Pub. L. 119-101 to r/title-12-BANKS-AND-BANKING · 228 words · no verdicts yet

in plain englishAI-generated · not legal advice

A translation hasn’t been published for this section yet. The official text below is complete and authoritative.

the actual law source: uscode.house.gov ↗public domain
(a) Definitions

In this section:

(1) Central bank digital currency

The term “central bank digital currency” means a digital asset that—

(A)

is denominated in United States dollars;

(B)

is a United States currency;

(C)

is a direct liability of the Federal Reserve System; and

(D)

is widely available to the general public.

(2) Digital asset

The term “digital asset” has the meaning given the term in section 5901 of this title.

(b) Prohibition

Except as provided in subsection (c), the Board of Governors of the Federal Reserve System or a Federal reserve bank may not issue or create a central bank digital currency or any digital asset that is substantially similar to a central bank digital currency directly or indirectly through a financial institution or other intermediary.

(c) Exception

Subsection (b) shall not prohibit any dollar-denominated currency that is open, permissionless, and private, and fully preserves the privacy protections of United States coins and physical currency.

(d) Sunset

This provisions of this section shall cease to be effective on December 31, 2030.

(e) Rule of construction

Nothing in this section shall be construed to allow the Board of Governors of the Federal Reserve System to issue a central bank digital currency or any digital asset that is substantially similar to a central bank digital currency directly or indirectly absent authorization by an Act of Congress.

Source credit: (Dec. 23, 1913, ch. 6, § 16A, as added Pub. L. 119–101, title XI, § 1101, July 11, 2026, 140 Stat. 983.)

history & why it existsrecord from the source credit
  • 1913Enacted · Pub. L. 119-101 · 140 Stat. 983

A history note hasn’t been published yet. The record shows enactment by Pub. L. 119-101 on 1913-12-23.

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