Facebook’s ambitious cryptocurrency project, Libra, continues to face regulatory approvals, as on August 25, 2019, the chair of the U.S. House Financial Services Committee (HFSC), Congresswoman Maxine Waters said that she’s “still concerned” about blue and white social media giant’s digital currency plans. This, according to a report by Reuters, August 26, 2019.
Libra and Regulations
It seems that the regulatory battle for Libra is far from over, as the U.S. HFSC chairwoman, Mrs. Waters recently stated that she’s still not sold on the idea of an alternative global currency under complete control of a business entity. The Congresswoman made the statement after meeting the government officials involved with the Libra project in Switzerland. She said:
“While I appreciate the time that the Swiss government officials took to meet with us, my concerns remain with allowing a large tech company to create a privately controlled, alternative global currency.”
“The Swiss officials were helpful in understanding the “status, complexity, and magnitude of Facebook’s plans.”
Per the report, Waters had a long discussion on Libra with representatives from Switzerland’s State Secretariat for International Financial Matters, the Federal Data Protection and Information Commissioner, the Financial Market Supervisory Authority, and Swiss legislators.
The prolonged high-profile discussions over the regulations surrounding Libra are a testimony to the level of seriousness it has attracted from regulators the world over. Perhaps, one of the main reasons for it could also be the fact that the Mark Zuckerberg-led social media juggernaut doesn’t exactly hold a clean slate when it comes to regard for user data and privacy.
An Uphill Battle for Libra
On June 18, 2019, Facebook’s Libra digital currency project took the world by storm when it positioned itself as a legitimate international store of value and medium of exchange, thus, directly pitting itself against the greenback.
According to its whitepaper, Libra looks to “bank the unbanked” by tapping into Facebook’s mammoth reach across the globe. The centralized cryptocurrency project, which has the backing of several multinational giants including the likes of Uber, Spotify, among others, looks to champion the cause of financial inclusion.