Facebook’s new page with Libra coin | Tech Wash


Is Facebook about
to change the way we pay for things online forever? The social media giant
has just announced it is going to launch its own
cryptocurrency, known as Libra, which it says will enable
users to pay for things online anywhere in the world for next
to nothing and instantaneously. The project has
an impressive list of backers, Visa, MasterCard,
Uber, Spotify, Lyft, 23 others, each of whom say
they will invest $10m to get the scheme going. And Facebook says
it will be more stable than other
cryptocurrencies such as Bitcoin
because it will be backed by real assets,
such as dollars. But has Facebook done
its homework here? The day after the announcement,
the G7 group of nations said it would start
a working group to look at the possible systemic
risks of such a cryptocurrency to the global financial system. Mark Carney, the governor
of the Bank of England, said that if such a
currency became popular it would certainly be
systemic, and therefore subject to the highest
forms of regulation. I’ve been talking to
regulators here in the US and it is clear
they’ve not really been briefed at all on this project. They said they knew only the
vaguest outlines of the scheme and would need to see a lot
more detail before deciding how strictly they were
going to look at it. For Mark Zuckerberg
this might come as something of a disappointment
as apparently the Facebook chief was hoping
that Libra would be subject to only the
lightest touch of regulation. But perhaps when dealing
with something as important as the financial system,
move fast and break things isn’t necessarily
the best credo.

9 thoughts on “Facebook’s new page with Libra coin | Tech Wash”

  1. Libra has already incorrect from the get go. "Backed by dollar" is not "backed by asset" because dollar is not an asset, gold is an asset.

  2. Good vid man! Nice visuals. I’ve done some Libra stuff in my news if anyone is interested in more. Subbed

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