SDBA Bringing Legislation to Reject CBDCs and Protect Financial Privacy
PIERRE, SD – Aug. 23, 2023– The South Dakota Bankers Association (SDBA) announced today that it will bring forward proposals opposing and rejecting the adoption of central bank digital currency (CBDC) to the 99th Session of the South Dakota Legislature. SDBA, through its alignment with the American Bankers Association, has helped to craft model policy circulated through the American Legislative Exchange Council (ALEC) processes this summer. The model policy will be voted upon by the ALEC board this coming Saturday, August 26, and if passed, SDBA will offer it to the upcoming South Dakota legislative session for consideration.
“During the 2023 South Dakota Legislature, the opposition to HB 1193 ‘An Act to Amend Provisions of the Uniform Commercial Code (UCC),’ disseminated a lot of misinformation. As a result, Gov. Kristi Noem vetoed the HB 1193, in part because there was concern the federal government would adopt a Central Bank Digital Currency (CBDC). The veto message specified potential ‘overreach by the federal government,’ but connecting that claim to 1193 is simply unfounded,” said SDBA president, Karl Adam. “While HB 1193 did nothing to create a CBDC, rejection of CBDC is a policy goal we share with those opponents. We can find no upside to the adoption of a CBDC in this free nation. Therefore, we are pleased to see that ALEC’s proposed model policy does exactly that. That’s why we plan to bring forward similar policy proposals during the 2024 South Dakota Legislative Session.”
“HB 1193 was and will be good law for South Dakotans. Although it did not become law in 2023, we’re hopeful that during the 2024 South Dakota Legislative Session, the model policy ABA and ALEC have created will settle some of the confusion and fears that became part of the discussion around HB 1193,” said SDBA Board Chair, David Nelson, President/CEO of First Fidelity Bank in Burke, South Dakota. “We look forward to seeing continued engagement and support from our industry cohorts to ensure that South Dakotans have the benefit of up-to- date commercial law and maintain the freedom to take part in the economy as they see fit. We don’t need CBDC in this country.”
The SDBA has begun seeking sponsors and intends to proceed with its early filing of policy proposals as soon as possible. For additional context on HB 1193, go to https://www.sdba.com/latest-news-blog to read the SDBA’s op eds that were published in the spring supporting the measure.
About the South Dakota Bankers Association
The South Dakota Bankers Association (SDBA) is the professional and trade association for South Dakota’s financial services industry. Established in 1884, the SDBA enhances the ability of its members to compete effectively and profitably in the financial services industry. The SDBA helps educate, advocate and grow a diverse mix of financial institutions throughout the state. For more information about the SDBA, visit www.sdba.com.
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Boy, alec has gone from a collection of fascist nuts to writing national financial policy. What bank in their right mind would align with alec? I guess this proves that the financial powers that be have no moral direction besides profit at all costs.
Ummmm: Do you realize that the UNIFORM Commercial Code is designed for UNIFORM commercial laws so businesses can operate smoothly across state lines and not inadvertently violate laws without maintaining big legal staffs and becoming a guaranteed lawyer employment vehicle?
Ummmmm: There is no truth AND it is an intentional LIE that this bill has a single thing to do with a federal CBDC or any other nutty “national financial policy.”
Ummmm and finally: There is no truth and is an intentional lie that this bill is motivated by bank profits. Instead, because banks desire to be able to provide broad services to the commercial customers and allow an efficient free exchange of goods and services, they desire to have this clarity for those who accept as consideration payment in the form of things like crypto currencies.
Sometimes it is wise to be skeptical and even a bit paranoid because many of our institutions are failing us but being as uniformed as you are Rich just makes you a paranoid uninformed simpleton.
This is a good idea on the part of the bankers. Last year’s UCC bill failed because of fears surrounding CBDCs even though that was not the intent of the bill. Bringing a bill to address that concern explicitly should smooth things over for the UCC revision and also put some good protections into SD state law.
Harpooning the Uniform Commercial Code was a huge mistake by the Noem administration and an indicator of how far out of step they are with the Business Community.
And proof why she’s a poor governor
Noem has essentially turned the governors office over to Lee Schoenbeck outside of a random veto she throws out for a national interview.
This SHOULD put to rest CBDC fears so we can pass the necessary UCC updates at the same time.