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Senator Cruz introduces companion bill to prohibit the Fed from issuing a CBDC

US Senator Ted Cruz introduced a bill on March 26 to prohibit the Federal Reserve from issuing a central bank digital currency (CBDC). The “Anti-CBDC Surveillance State Act,” would prohibit the Fed from offering certain products or services directly to American individuals, a key component of any CBDC.

The Texas Republican’s bill can be considered a companion bill to Minnesota Republican Representative Tom Emmer’s anti-CBDC legislation, which was reintroduced on March 6. A companion bill is a piece of legislation that is similarly or identically worded to another bill, and introduced in the other chamber of Congress.

Both bills state that the prohibition should not include any dollar-denominated currency that is open, permissionless, and private and “preserves the privacy protections of United States coins and physical currency.” 

Senator Cruz introduces companion bill to prohibit the Fed from issuing a CBDC

Sen. Ted Cruz’s anti-CBDC bill. Source: Ted Cruz

Since 2020, the Federal Reserve has been exploring a digital version of the US dollar. According to the CBDC Tracker, at least four research projects are currently underway by various Federal Reserve entities.

Cruz has been a vocal opponent of CBDCs since at least 2022, when he introduced legislation that would ban the Fed from introducing a direct-to-consumer CBDC. He followed it up with similar legislation in 2023, and in 2024 sought to block the attempt by then-President Joe Biden’s administration to create a CBDC.

Emmer said at a congressional hearing that “CBDC technology is inherently un-American” and warned that allowing unelected bureaucrats to issue a CBDC “could upend the American way of life.”

Related: North Carolina Senate overrides governor veto, passes bill banning CBDC

Critics denounce CBDCs

While CBDCs have some purported benefits, critics of the technology have long said that digital currency issued directly to citizens could pose privacy infringement and government overreach.

However, some nations and regional governments are still exploring this technology. While European consumers show little interest in CBDCs, lawmakers in the region are pushing to create a digital Euro. Israel has released a preliminary design to create a digital shekel, and Iran will reportedly launch a CBDC in the near future.

In the US, the creation of a CBDC has been met with more resistance. President Donald Trump has vowed to “never allow” a CBDC in the country, and Jerome Powell, the chair of the Federal Reserve, has said that the Fed will not issue a CBDC while he is in charge.

Though CBDCs could modernize legacy financial systems and make them more efficient, they would also centralize the money supply.

Magazine: Asia Express: India mulls new crypto ban to support CBDC, Lazarus Group strikes again

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Rural Texas community fails plan to become a city to curb BTC miner noise

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Rural Texas community fails plan to become a city to curb BTC miner noise

Rural Texas community fails plan to become a city to curb BTC miner noise

Residents of a small area in Hood County have attempted to form a municipality to exercise authority over a Bitcoin mining site they claim is generating excessive noise.

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Bank of England pledges to keep pace with US on stablecoin regulations

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Bank of England pledges to keep pace with US on stablecoin regulations

Bank of England pledges to keep pace with US on stablecoin regulations

The UK’s top bank says it will roll out stablecoin rules “just as quickly as the US” amid concerns that it’s lagging behind global allies.

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Police chiefs warn of crime surge if Labour’s plans pass – as hunt for mistakenly released prisoners continues

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Police chiefs warn of crime surge if Labour's plans pass - as hunt for mistakenly released prisoners continues

Police are preparing for a surge in crime if the Labour government’s plans to overhaul prison sentences go ahead – with hundreds of thousands more offences expected in a year.

Measures proposed under the Sentencing Bill, intended to ease overcrowding in prisons, include limiting the use of short prison sentences and releasing some convicted criminals earlier.

However, police chiefs are warning such measures could see up to a 6% rise in crime in the immediate aftermath, should the plans become law.

It comes as a manhunt is under way for two prisoners mistakenly released from HMP Wandsworth, including Brahim Kaddour-Cherif, a 24-year-old Algerian man and registered sex offender, and 35-year-old William Smith.

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Manhunt underway: what do we know so far?

‘It has to be properly funded’

Assistant Chief Constable Jason Devonport, who spent 18 months on secondment as a prison governor at HMP Berwyn, said forces are planning for an increase in all types of offences.

While he said community programmes to support rehabilitation “are being ramped up,” he warned officers “expect, certainly in the short term, there will be an increase of offending in the community”.

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“I believe in the Sentencing Bill and I believe in rehabilitation,” he added, “but it has to be properly funded.”

ACC Devonport said the probation service is trying to recruit 1,500 officers a year for the next three years to manage demand, and that the rise in police-recorded crime in one year is expected to be between 4% and 6%.

In the year to June 2025, police in England and Wales recorded 6.6 million offences. A rise of 6% would then equal around 396,000 additional recorded crimes.

Gavin Stephens, chairman of the National Police Chiefs’ Council, added that officers have “all been in policing long enough to know that some of the things that help people stop offending or desist from offending are not going to be resolved by short sentences in particular”.

However, he added: “Our issue is in the short-term period of the implementation, there is a shift of demand on to policing, and we want that shift of demand on to us to be properly recognised and properly modelled… so we can have the right and appropriate resource in there to mitigate the risk to communities.”

Feeble and inept – prison release fiasco is yet another political crisis


John Craig

Jon Craig

Chief political correspondent

@joncraig

The charitable view of the latest prison release blunder that has plunged the government into another political crisis is that it’s extremely bad luck rather than an act of incompetence by ministers.

But the more we learn about the shocking details of what happened and what looks like a cynical attempt at a cover-up by the hapless David Lammy, the more the blame can be laid at the government’s door.

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Prison system at ‘breaking point,’ warns MP

In a further warning about the state of law and order in the UK, the chair of the Justice Committee has said the prison system is at “breaking point”.

Labour MP Andy Slaughter called the latest releases from HMP Wandsworth “extremely concerning,” adding: “While the day to day running of prison security and public safety are paramount, the current spate of releases in error will be repeated until the underlying failures are addressed.”

He also said evidence taken by the committee “laid bare a crisis-hit prison system, starved of investment over many years which is facing multi-faceted pressures”.

What do we know about the manhunt?

The south London prison admitted on Wednesday that Kaddour-Cherif, who sentenced for trespass with an intent to steal, was accidentally released on 29 October.

His release came just five days after the high-profile release of migrant sex offender Hadush Kebatu from HMP Chelmsford in Essex.

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Lammy refuses to say if more prisoners mistakenly released

Hours after Kaddour-Cherif’s accidental release was confirmed by the Met, Surrey Police announced it was also searching for Smith after another error by prison staff.

The 35-year-old, who was sentenced to 45 months for multiple fraud offences and goes by the name Billy, had apparently been released on Monday.

It is not yet clear why it was nearly a week between the first release at Wandsworth and the police being informed that an offender was at large.

Both mistakes follow vows by Deputy Prime Minister and Justice Secretary David Lammy that enhanced checks on prisoner releases would be introduced.

He came under fire while standing in for Sir Keir Starmer at PMQs, but sought to blame the Conservatives, saying: “In 25 years in this House, I have not witnessed a more shameful spectacle frankly than what the party opposite left in our justice system.”

Read more from Sky News:
Nearly 40,000 freed early to tackle prison overcrowding
How many prisoners are released by mistake?
Driver hits several people on holiday island

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Lammy has ‘egg on his face’, former prison governor says

In response to concerns of a spike in crime should the Sentencing Bill become law, a Ministry of Justice spokesperson said the government “inherited a prison system in crisis, days away from running out of space”.

“Public safety will always be our top priority, and we are building 14,000 more prison places to keep dangerous offenders locked up,” they added.

“Offenders released face strict licence conditions, and we are increasing the probation budget by an extra £700 million over the next three years and investing in new technology to reduce admin, so staff can focus on work that reduces reoffending.”

And in response to the manhunt for the two released convicts, a spokesperson said: “Releases in error have been increasing for several years and are another symptom of a justice system crisis inherited by this government.”

They added: “We are clear that these mistakes must not continue to happen.”

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