Tennessee Bill Signed Into Law That Specifies “Money” Does NOT Include Central Bank Digital Currency

Apr 23, 2024 | Political News

Last week, Governor Lee signed into law a bill that amends Tennessee Code as it relates to Central Bank’s Digital Currency and money in the state.

House Bill 1909 (HB1909), sponsored by Representative Jeff Burkhart (R-Clarksville-District 75) and Senate Bill 2219 (SB2219), sponsored by Senator Bill Powers (R-Clarksville-District 22) states, “Uniform Commercial Code – As enacted, defines “central bank digital currency,” and revises the definitions of “money” and “deposit account,” for purposes of the Uniform Commercial Code. – Amends TCA Title 47.”

According to JDSupra, the new law amends Section 47-1-201(b) of the Tennessee Code by redefining “money” and codifying “central bank digital currency.”

The term “money” was updated to include a new provision that will state that money does not include a central bank digital currency. “Central bank digital currency” will instead be defined as a digital currency issued by a federal reserve, foreign government or foreign reserve system, and will include a digital currency, digital medium of exchange, or digital monetary unit of account processed by the entity.”