Swiss president just announced that Libra project has failed in its current form and needs reworking to be approved. Read in my article all latest concern about future of Libra’s project.
After Libra launch announcement there were many raised concerns among regulators and politicians regarding privacy to its potential to influence monetary policy and change the global financial situation. Regulators have expressed numerous concerns about Libra’s potential to erode countries’ control over their monetary policy and influence financial stability in negative way.
It also was said that central banks will not accept the basket of currencies underpinning it. Libra did not immediately respond to a request for comment.
When is the launch?
Co-creator David Marcus of Facebook have said that they could see the launch a bit delayed beyond the planned June date. But it seems that Libra project has no solid plan yet for how or where it will be launched still. The scope of Libra’s introduction, due by the end of June, depends on talks with regulators, said Patrick Ellis, one of five board members of the Geneva-based Libra Association that will issue and govern the digital currency. “It’s just too early to put a solid strategy in place,” Ellis said. “We have still got so much to solve with the regulators in order to be able to then refine the strategy for launch.
How will it work
The cryptocurrency is to be backed by a reserve of assets such as bank deposits and government debt held by a network of custodians. That structure is meant to foster trust and avoid the price swings that plague other cryptocurrencies.
Initially it was announced that Facebook won’t fully control Libra, but instead get just a single vote in its governance like other founding members of the Libra Association, including Visa, Uber and Andreessen Horowitz. But according latest news Facebook’s original backers, including Mastercard and Visa, ditched the project in October. Project PayU - international payments firm from Netherlands, of which Ellis is general counsel, is the only remaining firm among the association’s 21 members.
What do you think about new Facebook cryptocurrency project? Will it be successful? If you have your question, please write it below, I would be glad to answer your questions or to introduce your project to my team at Astorts Group to be evaluated.
Alessandro Rocco Pietrocola is an entrepreneur and investor based in London and operating mainly in Europe, Asia and Oceania with main focus on UK, Baltic Countries, Russia, China, Hong Kong, Malaysia, Singapore, Middle East and New Zealand as area of interest! At the moment is the Ceo of Astorts Group. He is an UK FCA (Financial Conduct Authority) Approved Person and is has great experience as director of regulated companies. He uses to dedicate part of his life to inspire others and help them achieve the most out of their life. Since he was 20, he had successfully founded and managed several companies operating in the field of management consulting, wealth management and fintech. He loves travelling, he is a cigars lover, an amateur golfer and a dapper man.