United States  

Celebrating 10 Years of Trusted News Discovery
One News Page
> >

Facebook's Libra currency battered by defections, pushback

SeattlePI.com Saturday, 12 October 2019 ()
Facebook faces a rough road ahead with Libra, but defections by high-profile partners are still unlikely to spell the end for the digital currency.

On Friday, Visa and MasterCard announced their departures from the Libra project, as did e-commerce giant eBay and payments startup Stripe. Last week, PayPal became the first major company to drop out of Libra. The exodus comes amid growing — not to mention stronger-than-anticipated — regulatory pushback against Libra in the U.S. and elsewhere.

"It's a big setback for them but it's not the end," said Gartner analyst Avivah Litan.

Facebook CEO Mark Zuckerberg will appear before Congress later this month to talk about the company's plans for Libra. Rep. Maxine Waters, the California Democrat who heads the House Financial Services Committee where Zuckerberg will testify on Oct. 23, called Libra "a new Swiss-based financial system" that potentially is too big to fail and could require a taxpayer bailout.

Libra's supporters say it could open online purchasing to millions of people who do not have access to bank accounts and could reduce the cost of sending money across borders. It's easy to see how attractive an alternative like Libra could be to people in countries beset with hyperinflation, such as Venezuela and Zimbabwe .

But Facebook already faces scrutiny over its poor record on privacy and its dominance in social media, messaging and related businesses. Will people trust it to create a new, global currency? Libra also poses new questions for the social network: Given that cryptocurrency is lightly regulated now, if at all, how will financial regulators oversee Facebook's plan? And just how much more personal data will this give the social media giant, anyway?

Litan said Facebook can still easily launch Libra in countries with no pushback, of which there are plenty....
Credit: Rumble - Published < > Embed
News video: Facebook presses on with e-coin despite defections

Facebook presses on with e-coin despite defections 01:06

Facebook is pressing ahead with its Libra e-currency despite losing another backer. Julian Satterthwaite reports.

Recent related videos from verified sources

Facebook's Libra Open to Using Stablecoins [Video]Facebook's Libra Open to Using Stablecoins

Facebook's Libra has faced numerous setbacks and now the company is looking for alternative financial structures, including different stablecoins backed by various government currencies.

Credit: Cheddar Inc.     Duration: 00:22Published

Facebook's Libra Hearing Could Also Shed Light on Anti-Trust, Privacy Issues [Video]Facebook's Libra Hearing Could Also Shed Light on Anti-Trust, Privacy Issues

The latest tech issue to come to the forefront publicly has been Facebook's controversial cryptocurrency, Libra. While Libra will be the topic CEO Mark Zuckerberg presents on in front of the House..

Credit: The Street     Duration: 01:43Published

Recent related news from verified sources

World’s most powerful finance regulator warns of “challenges” for Facebook’s Libra

The Financial Stability Board (FSB), the world's most powerful financial regulator, has warned that ‘stablecoin’ cryptocurrencies such as Facebook Inc’s...
Proactive Investors

OpenLibra Cryptocurrency Announced: Like Libra But Without Facebook

In the wake of reports that Facebook’s Libra currency is losing backers, Mashable is reporting that OpenLibra is being positioned as an alternative, “an open...
WebProNews Also reported by •Business InsiderCBS News

You Might Like

Environmentally friendly: One News Page is hosted on servers powered solely by renewable energy
© 2019 One News Page Ltd. All Rights Reserved.
About us  |  Contact us  |  Disclaimer  |  Press Room  |  Terms & Conditions  |  Content Accreditation
 RSS  |  News for my Website  |  Free news search widget  |  In the News  |  DMCA / Content Removal  |  Privacy & Data Protection Policy
How are we doing? FeedbackSend us your feedback  |   LIKE us on Facebook   FOLLOW us on Twitter  •  FOLLOW us on Pinterest
One News® is a registered trademark of One News Page Ltd.