The proposed EU crypto market regulation will raise many compliance obstacles for the next Libra-like project seeking to operate in Europe.
While there were many rumors circulating around Facebook’s quiet cryptocurrency project, details didn’t emerge until mid-June 2019 with the reveal of Libra — a cryptocurrency backed by reserve assets maintained in concert by a consortium of companies around the world with the goal of providing secure financial services to anyone anywhere.
The news triggered immediate pushback by the United States government for fear of Facebook’s track record with user data, influence on world affairs and the possible upending of the U.S. dollar’s status as a global reserve currency. Notably, both Facebook CEO Mark Zuckerberg and Libra head David Marcus testified before the House Financial Services Committee.
The Libra project has since pivoted to issuing fiat-backed stablecoins rather than attempting to issue a wholly new currency to be used by Facebook’s billion-plus user base.
The project quickly ignited a debate among world leaders around the future of digital assets in the global economy, with some countries actively researching and developing their own digital currency initiatives.
Check out this week’s Bad Crypto podcast.10186
Talk of CBDCs and Facebook's Libra headlined this week's policy news, as international organizations weigh in on both.10675
The G7's recent rejection of Libra doesn’t seem to have slowed them down.7315
The Financial Stability Board has warned that global stablecoins could pose systemic risks to the monetary systems of nation-states.2703
“No global stablecoin project should begin operation until it adequately addresses relevant legal, regulatory, and oversight requirements.”6230
Libra gets another member as it strives to have 100 entities on board.6165
Top financial services experts continue to join the Libra project.5003
Banque de France Governor François Villeroy de Galhau warned about the threat of "Big Tech" stablecoins.13827
Despite stablecoins posting triple-digit market cap growth this year, competition from projects backed by major financial and tech corporations is on the horizon.6646
Former U.S. Homeland Security Department general counsel, Stevan Bunnel, has been appointed as Libra's top lawyer.18663
A former chief economist of the IMF said neither private digital currencies nor central bank digital currencies should hold a monopoly.4969
In the EU, getting laws right on Libra could be the best way to speed up a digital euro from the European Central Bank.3981
There are multiple ways to approach digital payments, and Facebook wants to cover them all.11527
Facebook is determined not to take “no” for an answer when it comes to fintech.9711