- The UK will have strict regulations around Facebook’s Libra project to be set out by the Bank of England.
- Given it will have exposure to the financial system it will have be regulated under normal rules.
The Bank of England is drafting strict British Libra regulations around the U.K. Facebook’s Libra, it is systemically important and will face stringent regulations whenever it is launched in the United Kingdom, according to the central bank.
At present the Bank of England has put the yet-to-launch cryptocurrency project on notice and mentioned that it would have to undergo tight monetary inspections in the country.
It needs to be regulated as per the current rules, given its exposure to the financial system. The ‘Financial Policy Committee’ (FPC) of the central bank detailed that regulators in Britain will undertake a detailed analysis of the Libra’s functions, its impact on the financial network and check whether current regulations will apply to Libra or not.
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