The bill, titled "An Act Relating to Central Bank Digital Currency," aims to prohibit governmental agencies in Alabama from accepting payments made with central bank digital currency (CBDC) and from participating in any testing of CBDC by the Federal Reserve. The legislation defines "central bank digital currency" as a digital currency or medium of exchange issued by the United States Federal Reserve System or a federal agency, which is made directly available to consumers. It also defines "governmental agency" as any board, commission, department, or agency of the state or its political subdivisions.

Key provisions of the bill include the insertion of new legal language that explicitly states that no governmental agency shall accept payments in CBDC or engage in testing related to CBDC by the Federal Reserve. There are no deletions from current law noted in the text provided. The act is set to take effect on the first day of the third month following its passage and approval by the Governor.