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Entertainment Facebook says Libra needs 'decades' to take hold

19:35  05 november  2019
19:35  05 november  2019 Source:   msn.com

EU grills Facebook over Libra's financial and privacy risks

  EU grills Facebook over Libra's financial and privacy risks It's not just central banks interrogating Facebook over its Libra cryptocurrency as of late. The Financial Times has learned that the European Commission has asked Facebook to answer a range of questions about Libra, including the risks to financial stability and data privacy as well as the company's ability to comply with counter-terrorist financing and money laundering rules. Officials also want to know how Libra would handle its reserves. TheThe questioning is part of a larger EU effort to determine if and how Libra should be regulated, provided it's even allowed to operate in the region. There are significant hurdles to that happening.

Facebook's planned digital currency Libra will need decades to establish itself and gain global acceptance, one of its creators predicted on Tuesday.

a screenshot of a cell phone: Calibra will be made available as a standalone mobile app, and also embedded in Facebook's messaging apps Messenger and Whatsapp, Facebook outlined.© Courtesy of Facebook Calibra will be made available as a standalone mobile app, and also embedded in Facebook's messaging apps Messenger and Whatsapp, Facebook outlined.

"This is going to be the work not of years but of decades, but it's a journey worth making," Kevin Weil, Vice President of product at Calibra, Libra's digital wallet, told the Web Summit in Lisbon.

Facebook had originally hoped to roll out Libra next year, but has met fierce resistance from regulators and governments who see it as a threat to their monetary sovereignty.

Congress will grill Mark Zuckerberg over Libra October 23rd

  Congress will grill Mark Zuckerberg over Libra October 23rd Mark Zuckerberg will be under the spotlight of regulators once again when Facebook's CEO testifies before the Financial Services Committee this month. The congressional panel is set to grill him October 23rd over Facebook's planned cryptocurrency Libra and digital wallet Calibra. Zuckerberg will be the sole witness at the hearing, titled "An Examination of Facebook and Its Impact on the Financial Services and Housing Sectors." Until now,Zuckerberg will be the sole witness at the hearing, titled "An Examination of Facebook and Its Impact on the Financial Services and Housing Sectors." Until now, Facebook has opted to mainly send Calibra CEO David Marcus to discuss Libra with regulators.

The social media giant's chief executive Mark Zuckerberg last month opened the door to scaling back plans for Libra if it cannot win approval as a new currency for global exchanges.

Some also worry about the coin's potential use for criminal financing, or to undermine data privacy.

"Every new innovation that has been launched in the last 100 years from films to TV, radio, cars, even bikes, you get tons of pushbacks, you get headlines like the ones we've been seeing around Libra," Weil said. "So that's ok, it was expected."

Zuckerberg told US lawmakers on October 23 that the goal of Libra was "to build a global payment system rather than a currency".

Weil echoed this, saying Libra could focus on cross-border payments and remittances which he said amounted to $700 billion annually and generated $50 billion in commissions for payments systems, paid for by "people that have the least ability to pay".

Libra could also "bring things like credit to people that had never been able to access to credit before", Weil said.

Calibra will be made available as a standalone mobile app, and also embedded in Facebook's messaging apps Messenger and Whatsapp, he said.

Weil reiterated Facebook's pledge that Libra -- which is backed by an alliance of companies in a nonprofit, Swiss-based association -- would not launch without full regulatory approvals.

Facebook says Libra needs 'decades' to take hold .
Facebook's planned digital currency Libra will need decades to establish itself and gain global acceptance, one of its creators predicted on Tuesday. The social media giant's chief executive Mark Zuckerberg last month opened the door to scaling back plans for Libra if it cannot win approval as a new currency for global exchanges. Some also worry about the coin's potential use for criminal financing, or to undermine data privacy."Every new innovation that has been launched in the last 100 years from films to TV, radio, cars, even bikes, you get tons of pushbacks, you get headlines like the ones we've been seeing around Libra," Weil said.

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