Vodafone Reiterates Support for Libra but Calls for Independent CEO

Andrew Cummings
October 10, 2019

Mark Zuckerberg, CEO of Facebook, is scheduled to testify in front of the House Financial Services Committee later this month in what is expected to be a thorough grilling regarding Facebook's stablecoin Libra and Facebook's operations in general.

A Facebook spokesperson said: "Mark looks forward to testifying before [the committee] and responding to lawmakers' questions". There also is concern that the massive reserve created with money used to buy the new currency, to be called Libra, could supplant the Fed and destabilize the financial system, and that consumers could be hurt by Libra losses.

The announcement notes that Waters and other Democrats on the commitee sent a letter to Facebook in July, requesting an immediate moratorium on the implementation of proposed cryptocurrency Libra and digital wallet Calibra.

Waters has called Libra "a new Swiss-based financial system" that potentially is too big to fail and could require a taxpayer bailout.

French economy and finance minister Bruno Le Maire has warned that under current circumstances, Libra posed a threat to the "monetary sovereignty" of governments and could not be authorized in Europe.

How Facebook would affect the housing sector is not clear, but this is the same committee one of whose members compared Libra to the 9/11 attacks while pantomiming planes crashing into the World Trade Center.

The plan would open low-priced online commerce to millions of people around the world who lack access to bank accounts, and would make it cheaper to send money across borders, Marcus said.

Facebook is continuing to pursue the launch of the currency, with members of the Libra Association due to meet next week in Geneva to formally sign up to the group.

It will be his first appearance before a USA congressional committee since April 2018 although last month he was on Capitol Hill to meet privately with some lawmakers.

Zuckerberg's agreement to testify is relatively rare.

Other reports by iNewsToday