Fedcoin Tyranny Comes Closer

Fedcoin Tyranny Comes Closer

The anonymous security of cash in the USA could end even sooner than many people fear if an experiment due to begin within just a few weeks convinces the Democrat regime that a central bank digital currency can work and be foisted on the American people.

Officials at the Federal Reserve Bank of Boston and the Massachusetts Institute of Technology have been developing prototypes for a digital dollar platform, dubbed FEDCOIN.

“The fire has been lit,” said Josh Lipsky, who has helped convene government officials from the U.S. and other countries working on digital currencies as director of the GeoEconomics Center at the Atlantic Council. “The world is moving very quickly on these projects.”

If some Congress members get their way, the Federal Reserve may soon be able to track many of your purchases in real time and share that information with government agencies. This is just one of the problems with the proposed “digital dollar” or “fedcoin.”

Fedcoin was initially included in the first coronavirus spending bill. While the proposal was dropped from the final version of the bill, there is still great interest in fedcoin on Capitol Hill. Some progressives have embraced Fedcoin as a way to provide Americans with a “universal basic income.”

Both the Senate Banking Committee and the House Financial Services Committee held hearings on Fedcoin in June. This is the first step toward making Fedcoin a reality.

Fedcoin would not be an actual coin. Instead, it would be a special account created and maintained for each American by the Federal Reserve. Each month, Fed employees could tap a few keys on a computer and — bingo — each American would have dollars added to his Federal Reserve account. This is the 21st century equivalent of throwing money from helicopters. And, of course, those making these Communist-style 'universal payments' would have the power to withhold them from citizens who do not obey their rules.

Fedcoin also poses a massive threat to privacy. The Federal Reserve would know when Fedcoin is used, who is using it, and what they use it for. This information could be shared with government agencies, such as the FBI or IRS.

The government could use the ability to know how Americans are spending fedcoin to limit our ability to purchase goods and services disfavored by politicians and bureaucrats. Anyone who doubts this should recall the Obama administration’s Operation Choke Point. Operation Choke Point involved financial regulators “alerting” banks that dealing with certain businesses, such as gun stores, would put the banks at “reputational risk” and could subject them to greater regulation.

Even the big banks are getting nervous as they see the possibility emerging of the central government taking total control of a highly centralised digital currency.

As economist Robert Wenzel puts it, "George Orwell didn't even think of such a monster. Remember complete tracking also means the ability of the state to ban above ground purchases of any goods and services it chooses because it would see if such transactions occurred."

Before you dismiss the idea as absurd, please remember the Obama Administration's underhanded attempt to subvert your gun rights. It warned banks that doing business with gun manufacturers and stores could subject them to greater regulation.

And numerous banks have subsequently stopped dealing with gun companies that don't comply with the bank's arbitrary restrictions on what those companies can manufacture and sell.

On top of that, firearms sales have been banned completely by PayPal, Square and Apple Pay.

Bottom line: The politicians don't need to repeal the Second Amendment to ban guns. They can just make it impossible for you to buy them with Fedcoin. And once Fedcoin is the only legal tender available, you may not be able to buy anything the government doesn't want you to buy.

No wonder former Congressman Ron Paul calls Fedcoin, "A new scheme for tyranny and poverty."

It is certainly another extremely dangerous development, and we will be watching it closely and keeping you updated.