- Global regulators are alert towards Libra due to its potential impact on the global economy.
- “Facebook’s almost trying to turn itself into its own country,” British MP Damian Collins.
Barely a week since Facebook was scrutinized by both the US Senate and Congress, an influential British parliamentary is considering probing the social media giant. The lawmakers are afraid that Facebook’s entrance in the financial economy using the Libra digital currency is likely to give immense power.
The House of Commons’ Digital, Culture, Media and Sport Committee chair, Damian Collins while speaking to Financial News said that he has concerns with Facebook’s capacity to protect user financial data especially after a series of privacy and regulatory violations in the recent past.
“To me, [Libra] suggests that Facebook’s almost trying to turn itself into its own country.” Collins added “It’s a global organisation that doesn’t have physical boundaries but basically has a global community who are solely under the oversight of Mark Zuckerberg [its CEO].”
Facebook is continuing with the development of Libra which is likely to launch in 2020. However, the head of Calibra David Marcus told the US lawmakers that Facebook will not launch the project until all regulatory concerns are addressed.
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