US legislators have introduced a bill that mandates the US Treasury Secretary to create and issue an electronic form of the US dollar focused on transaction privacy.
Representatives Stephen Lynch, Ayanna Pressley, Chuy Garcia, and Rashida Tlaib maintain that the Treasury Department is the ideal institution to create a digital dollar instead of the Federal Reserve.
The draft defines an electronic dollar as a bearer instrument that people can hold on their phone or card as token-based and not account-based.
Assistant professor at Willamette University, Rohan Grey, notes that the system will not be centralized or distributed but instead relies on the device hardware and software.
The Currency will power peer-to-peer transactions that are fully autonomous and must be acquired through a bank account. Grey adds that e-cash will fill the gap for those who do not have a bank account with its minimum balance requirements and no KYC processes.