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“Given the company’s troubled past, I am requesting that Facebook agree to a moratorium on any movement forward on developing a cryptocurrency until Congress and regulators have the opportunity to examine these issues and take action.”
The Banking Committee will reportedly hold a hearing on July 16, entitled “Examining Facebook’s Proposed Digital Currency and Data Privacy Considerations.” The head of the U.S. Federal Reserve, Jerome Powell, disclosed during an interest rate speech on Wednesday that the social media giant did consult regulators prior to the project:
“[Facebook] has made quite broad rounds around the world with regulators, supervisors and lots of people to discuss their plans and that certainly includes us.”
Looking at the widespread reach of Facebook, government officials in other countries also express their doubts and concerns regarding the project. As per a report, the governor of the French central bank, Francois Villeroy de Galhau hints about a crypto task force, headed by European Central Bank board member Benoit Coeure. The”https://kryptomoney.com/g7-plans-a-task-force-to-manage-facebooks-libra-cryptocurrency/” target=”_blank” rel=”noopener noreferrer”> task force within the Group of Seven (G7) nations would look over the cryptocurrency regulators in order to avoid money laundering and other problems.
Though Facebook’s Libra might not be the main reason behind the task force, France’s finance minister, Bruno Le Maire did express concerns on Tuesday, the Libra could gain traction and replace traditional currencies.
Read more:Crypto Analytics Firm Coin Metrics To Design Twitter-Based Crypto Sentiment Feed
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