According to ChainCatcher and reported by CryptoSlate, the Missouri State Senate introduced SB 194 on December 1, proposing to prohibit central bank digital currencies (CBDCs) as legal tender in the state. The bill aims to prevent public entities from accepting or using CBDCs and modifies the definition of 'currency' in the Uniform Commercial Code to exclude these digital currencies.
SB 194, initiated by Senator Brattin, outlines several provisions affecting Missouri's financial policies, including a requirement that the gold and silver reserves held by the state treasurer be at least equivalent to 1% of the state's funds. Additionally, the bill reduces the tax liability on gold and silver, as it exempts from state income tax the portion of capital gains from the sale or exchange of gold and silver that would otherwise be included in the taxpayer's federal adjusted gross income. Besides focusing on precious metals, the bill explicitly prohibits public entities from participating in any testing or pilot projects related to CBDCs conducted by the Federal Reserve or other federal agencies. This stance reflects growing concerns among some state legislators about the impact of CBDCs on financial privacy, monetary policy, and state sovereignty.