Facebook Hires Lobbying Firms to Ensure Libra Will Actually Launch Against Opposing Lawmakers
- Facebook has been challenged by the US government in their launch of Libra.
- To help in their efforts, Facebook has added more lobbying firms to their fight.
There’s been plenty of debates about how Facebook’s Libra cryptocurrency will ultimately be implemented in the cryptocurrency world, especially as regulators around the world wait for more details. Reports from Politico show that Facebook is working to expand their lobbying efforts to pitch Libra, following threats from policymakers to completely derail the social media giant’s plans.
Along with the lobbying team, some sources familiar with the circumstances are saying that Facebook has already hired lobby shops that have experience in the financial services sector of Washington – Sternhell Group and the Cypress Group. Davis Polk, a law firm, will be helping with these regulatory issues. Facebook has also been looking to other firms that will help to sway the policymakers against the stablecoin.
Tripp Baird, who is part of the lobbying of Facebook for Off Hill Strategies, said,
“Education at this point is the first and foremost step, making people aware of what it is and the rollout and just getting people comfortable with the idea. That’s been our primary focus at this point and answer any questions members of Congress and folk in the administration may have.”
Right now, Facebook is working to increase its lobbying, due to the doubts that lawmakers and regulators have about Libra and its threat to the financial system. Much of the debate surrounds if Libra should even move forward at this point.
When Facebook released Libra’s whitepaper and announced the cryptocurrency last month, Federal Reserve Chairman Jerome Powell warned that Libra ultimately brought to light
“many serious concerns.”
Those concerns have a lot to do with privacy, money laundering, and consumer protection. There have already been calls from multiple members of Congress for Facebook to stop their work on Libra.
Lawmakers and aides have already heard from many of the key employees with Facebook, like David Marcus, who is the executive that is presently overseeing the financial services subsidiary of the company. They’ve also heard from Lee Brenner, the head of blockchain public policy, Chris Randle, a lobbyist, and Myriah Jordan, a lobbyist. Randle joined Facebook following work as a democratic aide in both the House and Senate. Jordan, on the other hand, served in the Bush administration.
Dante Disparte, the head of policy and communications for the Libra Association, has been participating in these briefings. The Libra Association was formed with the intention of managing Libra amongst Facebook and the partners.
At this point, there have been no comments from Cypress and Davis Polk, regarding these new developments.