US congressmen reiterate the idea of ​​a “digital dollar” to respond to COVID-19

US lawmakers have re-introduced the concept of a "digital dollar" to be sent to taxpayersincentive payments to curb the economic downturn due to the coronavirus pandemic.

Congressmen Rashida Tlaib and Pramila Jayapal have submitted a new Mint the coin proposal to the federal government.

Automatic BOOST to Communities (ABC) Billprovides for the immediate payment of $ 2,000 using BOOST debit cards to every US citizen as assistance during the crisis caused by COVID-19. It is further proposed to pay $ 1,000 monthly for one year after the end of the crisis to help the country recover.

ABC proposal will be fundedThe US Treasury Department has no additional debt by issuing two batches of coins of $ 1 trillion and, if necessary, additional coins. The ABC bill is also reviving the idea of ​​a "digital dollar" introduced last month.

In accordance with the bill, US Congresswill authorize the Federal Reserve to create FedAccounts - “account wallets in US dollars” that would allow US residents, citizens and businesses located in the country to access financial services.

“Not later than January 1, 2021, the Secretary will offer all recipients of BOOST payments the opportunity to receive money in a digital dollar wallet,” the bill says.

ABC was proposed due to ongoing problems withissuing incentive payments of $ 1,200 permitted under the CARES Act. The tax service sent payments to taxpayers, but failures did not allow many people to receive their funds, or even confirmation of the status of the payment.

However, the bill introduced this weekgoes beyond incentive payments. The document states that FedAccount owners should have access to a number of other services, including “debit cards, access to online accounts, automatic payment of bills, mobile banking and ATMs located in the US postal service offices.”

Congress also supported CongressGarcia (Jesús García), Alcee Hastings, Alexandria Ocasio-Cortez, Ilhan Omar, Ayanna Pressley, Bobby Rush, Jan Schakowsky ) and Nydia Velázquez.

Associate Professor at Vanderbilt University Morgan Ricks(Morgan Ricks), who contributed to the initial proposal for a digital dollar, said that he and his colleagues have “given staff-level advice” to the House of Representatives and Senate over the past few weeks.

“It is good to see legislative attention to this concept. We think this is a revolutionary idea, ”he said.

Recall that in March the deputies of the HouseRepresentatives of the US Congress from the Democratic Party presented a bill that describes the issue of the "digital dollar." However, almost immediately, the digital dollar was excluded from the latest version of the bill aimed at stimulating the American economy against the backdrop of the coronavirus pandemic.

</p></p>