Florida and Indiana recently passed laws banning the use of a central bank digital currency (CBDC) as money.
These laws explicitly exclude CBDCs from the definition of money in Florida and Indiana, effectively banning their use as such in these states.
The Florida law defines CBDC as a “digital medium of exchange, or digital monetary unit of account issued by the United States Federal Reserve System, a federal agency, a foreign government, a foreign central bank, or a foreign reserve system that is made directly available to a consumer by such entities” and that is “processed or validated directly by such entities.”
The law explicitly excludes central bank digital currency from the definition of money under the Florida Uniform Commercial Code (UCC), which regulates commerce in the state.
The provisions in the new Indiana law are similar, but the bill took a very different path to enactment.