H.F. 2358 Section 1. NEW SECTION . 535.19 Central bank digital 1 currency —— state entity use prohibited. 2 1. For purposes of this section: 3 a. “Central bank digital currency” means a digital medium 4 of exchange, token, or monetary unit of account issued by the 5 United States federal reserve system or any analogous federal 6 agency that is made directly available to a consumer by such 7 entities. “Central bank digital currency” includes a digital 8 currency, a digital medium of exchange, or a digital monetary 9 unit of account issued that is processed or validated directly 10 by such entities. 11 b. “State entity” means the state, including but not limited 12 to a state agency, department, division, board, commission, 13 institution, or authority; a city; a county; a township; a 14 school district; or any other political subdivision or special 15 district in this state established pursuant to state or local 16 law. 17 2. Notwithstanding any other provision of law to the 18 contrary, a state entity shall not accept or require any 19 payment, including of taxes or fees, in the form of a central 20 bank digital currency. 21 3. A state entity shall undertake all good-faith efforts to 22 oppose testing, adoption, and implementation of a central bank 23 digital currency. 24 EXPLANATION 25 The inclusion of this explanation does not constitute agreement with 26 the explanation’s substance by the members of the general assembly. 27 This bill prohibits state entities from accepting or 28 requiring payment, including of taxes or fees, in the form of a 29 central bank digital currency. The bill also requires state 30 entities to oppose testing, adoption, and implementation of 31 a central bank digital currency. The bill defines the terms 32 “central bank digital currency” and “state entity”. 33 -1- LSB 5284YH (2) 90 sc/ns 1/ 1