- Russia, South Korea, and other countries may not allow the use of Libra.
- The cryptocurrency by Facebook is not due to launch until the first half of 2020.
The cryptocurrency market is hard to break into. Even the top 100 cryptocurrencies on the market are relatively unknown, with only a few of those names even making it to mainstream knowledge. With Facebook being easily one of the biggest social media platforms in the world, their introduction of the Libra initiative was aiming to be a big break for this combination of two sectors. As more and more countries speak out, it doesn’t look like Facebook’s cryptocurrency will get the support it hoped for.
New reports by major Russian news agency TASS state that Russia plans not to legalize Libra, which was supported by the State Duma Committee’s chairman, Anatoly Aksakov. France and the United States are both working on their current regulation regarding cryptocurrency, so it isn’t clear how well Facebook’s launch of Libra will go next year. Aksakov commented that he believes that many countries with strict capital controls will ultimately decide to restrict Libra in their areas, like India. However, there is still plenty of time to reach a decision.
In South Korea, Facebook is running into issues with trademark concerns with LG Electronics. According to reports by Seoul Economic Daily, LG Electronics has already trademarked the word “Libra,” which was confirmed when the company registered the name “Watch Libra,” meant for mobile phones and similar technology in October.
Along with LG Electronics, Alibaba in China stated that they have a claim to trademark rights over the name Libra since May 2010. In their report, the company claimed that the entities with these rights include “management of investment portfolios and finance and banking service and data tracking of cryptocurrency transactions for accounting surveillance and monitoring agency service.” The Korean Intellectual Property Office (KIPO) reportedly rejected the trademark filing that Facebook submitted in May.
As if multiple countries already deciding against the use of Libra was not enough, the founder of Current even says that Facebook copied their logo in the process. The CEO, Stuart Sopp, spoke with CNBC, saying that he had come up with the logo in 2016, adding that the same firm worked on Facebook’s crypto project. Facebook’s spokesman, Anthony Harrison, declined to comment, as did Facebook.
Right now, the Libra Association has multiple major founding partners to give him some semblance of stability, including Uber, Lyft, Mastercard, Via, Andreessen Horowitz, and Booking Holdings. However, analysts are predicting some challenges ahead for both Facebook and the Libra initiative, as lawmakers determine their own stance on cryptocurrency still.
Facebook Crypto News and Libra Coin Updates