Facebook’s ambitious project and venture into the crypto world, Libra, has been facing a lot of heat from government and international officials from Europe and the USA ever since the grand announcement. And while it mainly concerned the tainted reputation that the company has had over the recent years, the former may have been relentless in the opposition quest.
Now, as reported by Reuters, French finance master, Bruno Le Maire, doesn’t want it to operate in the EU. this comes with the reason that it is still unclear how the cryptocurrency will function.
According to Le Maire, there are systematic financial risks, risks for sovereignty, as well as the potential for abuse of market dominance, related to the digital currency.
All these concerns about Libra are serious. I, therefore, want to say with plenty of clarity: in these conditions, we cannot authorize the development of Libra on European soil.
The new sense of opposition from the official does not come as a surprise at this point. This is because it still lingers around what numerous other powerful individuals have aired out ever since Libra announcement. The ongoing development had even been demanded to halt for investigations to be done by external bodies.
But it does not take away the worry of whether Zuckerberg and his team are willing enough to go through the rough tides and proceed with development till its launch.
In August, the EU commission reportedly launched a competition probe against Libra. This was after concerns about Libra creating “possible competition restrictions” on the consumer data that will be exchanged.
Earlier on, a European Central Bank executive referred to Libra as a “quasi-cryptocurrency”. This was while reasoning that Facebook’s aim for the cryptocurrency is centralized governance, centralized issuance, and centralized control – which goes against every concept of what is supposed to be a decentralised coin.