I 

118TH CONGRESS 

1ST SESSION H. R. 5032 

To amend the Federal Reserve Act to prohibit the issuance of a central 

bank digital currency, to prohibit Federal reserve banks from offering 

certain products or services, to prohibit holding or owning central bank 

digital currencies of any country, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 27, 2023 

Mr. OGLES (for himself, Mr. BISHOP of North Carolina, Mr. DONALDS, and 

Mr. GOSAR) introduced the following bill; which was referred to the Committee on Financial Services 

A BILL 

To amend the Federal Reserve Act to prohibit the issuance 

of a central bank digital currency, to prohibit Federal 

reserve banks from offering certain products or services, 

to prohibit holding or owning central bank digital currencies of any country, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Cease Orwellian Sur5 veillance and Targeting Act of 2023’’ or the ‘‘COST Act 

6 of 2023’’. 


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1 SEC. 2. PROHIBITION ON ISSUING A CENTRAL BANK DIG2 ITAL CURRENCY OR OFFERING CERTAIN 

3 PRODUCTS OR SERVICES. 

4 Section 13 of the Federal Reserve Act is amended 

5 by adding at the end the following new paragraph: 

6 ‘‘(15) PROHIBITION ON ISSUING A CENTRAL

7 BANK DIGITAL CURRENCY.— 

8 ‘‘(A) IN GENERAL.—The Board of Gov9 ernors of the Federal Reserve System and the 

10 Federal reserve banks may not mint or issue a 

11 central bank digital currency. 

12 ‘‘(B) CENTRAL BANK DIGITAL CURRENCY

13 DEFINED.—In this paragraph, the term ‘central 

14 bank digital currency’ means a form of digital 

15 money or monetary value, denominated in the 

16 national unit of account, that is a direct liabil17 ity of the Board of Governors of the Federal 

18 Reserve System or the central bank of a foreign 

19 country. 

20 ‘‘(16) PROHIBITION ON OFFER PRODUCTS OR

21 SERVICES, EITHER DIRECTLY OR INDIRECTLY

22 THROUGH AN INTERMEDIARY, TO AN INDIVIDUAL OR

23 ENTITY.— 

24 ‘‘(A) IN GENERAL.—A Federal reserve 

25 bank may not— 


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1 ‘‘(i) offer products or services to an 

2 individual or entity, either directly or indi3 rectly through an intermediary; 

4 ‘‘(ii) provide coins or currency directly 

5 to an individual or entity; or 

6 ‘‘(iii) maintain an account on behalf 

7 of an individual or entity. 

8 ‘‘(B) EXCEPTIONS.—Subparagraph (A) 

9 shall not apply to— 

10 ‘‘(i) a depository institution; 

11 ‘‘(ii) an insured credit union; 

12 ‘‘(iii) the Department of the Treasury; 

13 ‘‘(iv) the Federal Home Loan Banks; 

14 ‘‘(v) the Federal Home Loan Mort15 gage Corporation; 

16 ‘‘(vi) the Federal National Mortgage 

17 Association; 

18 ‘‘(vii) the Government National Mort19 gage Association; 

20 ‘‘(viii) a foreign correspondent or 

21 agency, foreign bank or banker (including 

22 a branch or agency of a foreign bank), or 

23 foreign state; 

24 ‘‘(ix) a financial market utility des25 ignated by the Financial Stability OverVerDate Sep 11 2014 23:52 Aug 15, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H5032.IH H5032

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1 sight Council under section 804 of the 

2 Payment, Clearing, and Settlement Super3 vision Act of 2010; or 

4 ‘‘(x) the International Monetary Fund 

5 or the Bank for Reconstruction and Devel6 opment.’’. 

7 SEC. 3. PROHIBITION ON HOLDING OR OWNING CENTRAL 

8 BANK DIGITAL CURRENCY. 

9 (a) IN GENERAL.—No person may hold or own cen10 tral bank digital currency of the United States or a foreign 

11 country. 

12 (b) CENTRAL BANK DIGITAL CURRENCY DE13 FINED.—In this section, the term ‘‘central bank digital 

14 currency’’ has the meaning given that term under section 

15 13(15)(B) of the Federal Reserve Act. 

16 (c) RULEMAKING.—The Secretary of the Treasury 

17 shall issue such rules as may be necessary to carry out 

18 this section. 

19 (d) EFFECTIVE DATE.—Subsection (a) shall take ef20 fect after the end of the 90-day period beginning on the 

21 date of enactment of this Act. 

Æ 


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