US Government Could Freeze Bank Accounts Via FedNow Payments Network

It seems that the financial situation in the US might be getting even worse following the latest reports regarding the supremacy of the US dollar. Check out the latest news about the FedNow payments network.

It’s been just revealed the fact that the Fed officials are addressing concerns that FedNow, the new instant payment infrastructure developed by the Federal Reserve, will allow the government to surveil and freeze Americans’ bank accounts.

The online publication the Daily Hodl notes the fact that in a new fact-checking report from the Associated Press, officials from the Federal Reserve say that the new service “does not give the agency additional surveillance and enforcement authorities.”

In an email to AP, Fed officials said the following:

“FedNow is an instant payments service that the Federal Reserve will offer to banks and credit unions to transfer funds for their customers… The Fed and FedNow cannot access individuals’ bank accounts or control how they choose to spend their money.”

AP also conferred with Aaron Klein who is a senior fellow at the Washington, D.C. think tank Brookings Institution, who said that concerns about bank accounts being seized through FedNow were a “nonsense campaign” with “no basis in reality.”

Klein reportedly says that FedNow is revamp of the Fed’s “outdated” Automated Clearinghouse (ACH) system.

“They are upgrading their current system that runs on 1950s tech to one that’s modern… It’s like changing from Blockbuster to Netflix.”

The macro guru Lyn Alden says that people are starting to understand the unique value proposition of Bitcoin (BTC) following the collapse of several regional banks this year.

In a recent MicroStrategy World Panel Session, Alden says that Americans are beginning to realize that banks are risky, which she highlights is something that the rest of the world already understands.

“I think people took for granted what a lot of the world doesn’t take for granted, which is that banks are risky, that there’s risk there, especially if you’re above certain insurance limits. Basically, you’re lending to the bank to invest in a variety of assets, and most of us don’t take the time to study the assets of the banks we operate in. Many of them are not public, so we can’t even do so if we wanted to.”