Ever since Facebook announced Libra, it has been beset by skepticism from big government, regulatory bodies and global banks. Despite Switzerland’s clear guidelines, there’s another country seeking to halt the development of Facebook’s proposed cryptocurrency, Libra.
Recently reported by AFP, France is the latest name of the country which is raising serious concern over Libra and Facebook’s plan of entering into the global financial system. The country is reportedly demanding Facebook to block the development of Libra cryptocurrency – henceforth, preventing it to enter into European soil. Recently, during an interview with Bloxlive TV, our founder Jeff Guzzi had mentioned that Facebook Libra developments were a “regulatory nightmare.” The most recent developments in France are not changing the sentiment whatsoever.
However, at the opening of an OECD conference on blockchain and cryptocurrencies in Paris, Bruno Le Maire said;
“I want to be absolutely clear: in these conditions, we cannot authorize the development of Libra on European soil,”
Furthermore, there’s one major factor that most regulators fear from the rise of Facebook’s Libra and that is, ‘Libra may portend the demise of the nation-state’s currency monopoly’. In the latest report as well, France warned to halt Libra by elaborating, it bears some functionalities that would likely threaten the monetary sovereignty of the government.
France isn’t the only country with skeptical views on Libra, similar concern have been raised by the United States. In fact, President Donald Trump openly blasted at Libra, urging Facebook and other giants launching cryptocurrency must seek a new Banking Charter and become subject to all Banking Regulations.
At the center of these criticizing comments, Libra has finally received a sort of clarity from Swiss Govt wherein it says Libra in Switzerland will fall under its existing regulations applicable for financial market infrastructure. However, it also mentions a few aspects that need it to comply with the additional regulatory requirements.