Fed Chairman Swears ‘Very High’ Scrutiny Against Facebook’s Crypto Libra
Federal Reserve Chairman Jerome Powell said his agency – as well as the rest of the federal government – will be looking carefully at Facebook’s Libra cryptocurrency.
The Unspoken Advantage of Large Companies Entering Crypto
He promised that Facebook would be held to very “high” standards, implying that the social media giant should be able to operate successfully.
“Libra’s a new thing; we are looking at it very carefully. Given the possible scale of it, I think that our expectations — from a consumer protection standpoint, from a regulatory standpoint — are going to be very, very high. […] Authority for overseeing Libra is going to be in several places, but I think that the big picture is we are going to be looking really carefully at it.”
When you have a significant company like Facebook talking about entering the financial space, governments finally get antsy. Whatever Facebook is working on, they’re skeptical, and they want to know everything.
Facebook so happens to be building a form of cryptocurrency. As a result, renewed scrutiny on a growing industry.
The Mother of Central Banks Sounds the Alarm on Facebook Cryptocurrency Libra https://t.co/ju8vWSBaok #BIS #Libra #Facebook pic.twitter.com/9HXCJrRsEi
— CCN Markets (@CCNMarkets) June 24, 2019
But perhaps the unsung advantage to Facebook entering the crypto space is Facebook’s lobbying efforts doing the same. Facebook has a legion of successful lobbyists.
