Share this article
Republican Lawmakers Who Oppose a Fed-Issued CBDC Ask for Justice Department's Assessment
The report came in response to President Biden's executive order on crypto.
By Nikhilesh De
Updated Oct 5, 2022, 5:50 p.m. Published Oct 5, 2022, 4:36 p.m.
A group of Republican lawmakers on the House Financial Services Committee have asked U.S. Attorney General Merrick Garland to share the Justice Department's assessment on whether the Federal Reserve has the necessary authority to issue a central bank digital currency (CBDC).
The Justice Department has published two reports in response to President Joe Biden's March executive order on crypto, including one on information sharing on crypto crimes internationally and one announcing the formation of a group of prosecutors who would specialize in crypto crimes. Another report, which would detail whether Congress has to authorize a CBDC, has yet to be published.
STORY CONTINUES BELOW
The latter report is what the lawmakers, who include the committee's ranking member, Rep. Patrick McHenry (R-North Carolina), and French Hill (R-Arkansas), are asking Garland to share.
The lawmakers believe that the Fed doesn't have the authority necessary to issue a CBDC, the letter said, which also pointed to requests from Fed Chairman Jerome Powell and Vice Chairwoman Lael Brainard calling on congressional action.
"As you know, Congress’ authority over coining money is exclusive. The Supreme Court has recognized Congress’ power to coin money and regulate the value thereof, confirming Congress’ authority to regulate each phase of currency. Relatedly, Congress may charter banks and grant them the right to issue circulating notes, and it may restrain the circulation of notes not issued under its own authority," the letter said.
The lawmakers set an Oct. 15 deadline for Garland to respond.
More For You
KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
What to know:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
More For You
Iran accepts cryptocurrency as payment for advanced weapons
Prospective customers could purchase weapons such as missiles, tanks and drones using crypto, according to a government website.
What to know:
- Iran's Ministry of Defence Export Center is accepting cryptocurrency payments for advanced weapons systems as a means of bypassing international sanctions that the country faces.
- The offer is among the first known instances of a country accepting cryptocurrency as a means of payment for military equipment, according to the Financial Times.
- The facility for using cryptocurrency to pay for transactions involving sanctioned countries is already well established.
Top Stories
