Experts Think Facebook Would Need A Miracle if Libra is To Launch in First Half of 2020
For a few weeks before Facebook’s official announcement, there were rumors floating through the grapevine about the social media giant’s plans for floating its own cryptocurrency.
Before it was confirmed, there already were a lot of comments and opinions being shared about what it would mean for the cryptosphere if a major firm like Facebook officially entered in the manner that it was planning to.
There are quite a few traditional firms either looking into accepting cryptocurrency payments for its many different goods and services or applying blockchain technology to their core business. However, creating its own digital asset was a different ballgame.
Don’t Expect Libra Launch as Planned
Unfortunately, since the official announcement, the U.S. government hasn’t exactly been excited about the idea of Facebook creating its own digital asset and very recently, the head of the Libra project, David Marcus, was relentlessly grilled by Congress for hours on end, about the Libra project and the Libra Association in general. Now, it would seem that Facebook’s earlier planned 2020 launch date might not work after all.
According to a research fellow with the Centre for Blockchain Technologies at the University College London, approval for the Libra might still be a long way off.
“The odds that Libra receives regulatory approval anytime soon (i.e., in the next 6-12 months) are quite low. This is such a massive proposal, with immediate global scale and consequences, that everyone – including regulators – will need time to think it through.”
The Government Doesn’t Trust Facebook
Facebook has been plagued with quite a bit of trust issues in recent times. There have been many accusations that the Zuckerberg-led firm has not been proper with user/consumer privacy and data.
Even though there were a few senators who tried to speak for a world where blockchain technology is better applied and respected, it would seem that most senators don’t trust Facebook and even asked Marcus to suspend plans until further notice.
As a matter of fact, the word “trust” was said to have been mentioned at least 69 times during the hearing. Representing an average of one mention every two minutes, there really seems to be a problem.
Furthermore, Treasury Secretary Steven Mnuchin spoke at a White House press conference, saying that there are ways the Libra could be exploited. Mnuchin mentioned that there are
“very serious concerns that Libra could be misused by money launderers and terrorist financiers.”
Apparently, Even the Public isn’t Excited Either
CivicScience, a market research and opinion-gathering service, recently conducted a survey that sought to measure the general public’s interest or desire for the Libra.
In the report titled “Americans Have Trust Issues with Facebook’s Cryptocurrency”, the survey found that only about 5% of 1,799 adults in the U.S. actually stated any level of interest or desire for the Libra.
Libra Scams have Already Begun
There are a number of fake websites, individuals and groups who claim to have some inside connect to the Libra and are supposedly already selling the coin, even though Facebook has said it wouldn’t launch until 2020.
Zuckerberg is Undeterred
From the government to the numerous phishing sites and scammers who are relentlessly trying to take advantage of the Libra situation, Facebook seems to have a lot on its plate and might not be able to launch the Libra along with the Libra Association, within the expected timeframe. However, there is a renewed commitment from CEO Mark Zuckerberg.
The founder spoke during a quarterly earnings call on Wednesday the 24th, promising that the firm will “try and have a very open dialogue” and spend “however long it takes” to make sure everyone, including the regulators, are on board, before the Libra launch.