G7 Creating Task Force For Facebook’s Libra To Regulate Cryptocurrencies

  • France open to invitation but firm on regulation
  • G7 that includes Canada, France, Japan, Italy, Germany, the UK, and the US to create a task force for Libra
  • Within days of launching its Libra coin, Facebook has faced opposition from officials around the world. Now, France is creating a G7 task force to study how central banks can ensure that cryptocurrencies like Libra are governed by regulations. These regulations range from money laundering to consumer protection, revealed France’s central bank governor on Friday.

The said force would be led by Benoit Coeure, a European Central Bank board member, Governor Francois Villeroy de Galhau said.

As reported, Facebook announced its plan on Tuesday to introduce a new global cryptocurrency called Libra. It is joined by 28 partners to form Libra Association, a Switzerland-based non-profit entity that will govern the new digital coin, per the details released via the White paper. The company has also set up a subsidiary, Calibra.

The move came after France’s finance minister, Bruno Le Maire expressed his concerns about Libra on Tuesday.

“It is out of question’’ that Libra be allowed “become a sovereign currency,” Le Maire said at the time. “It can’t and it must not happen.”

Now today, Villeroy said France is “open to innovation” but firm on regulation which he says, “is in everyone’s interest.”

Global Regulators Expressing Concern About Facebook’s Libra

Facebook is drawing fast and worried reaction from authorities. Since unveiling the project, the US, Australia, and the UK have shown concerns about potential regulatory issues around Facebook’s Libra.

The US Senate Banking Committee has also scheduled a hearing on Facebook’s crypto plans on July 16. David Marcus, who oversees the blockchain efforts of the social media giant is expected to testify in this hearing.

France currently holds the rotating presidency of the Group of Seven nations, that is a group of advanced economies including Canada, France, Japan, Italy, Germany, the UK, and the US.

Markus Ferber, German Parliament member also called for scrutiny saying companies, “must not be allowed to operate in a regulatory nirvana when introducing virtual currencies.”

The concept of a “stable” cryptocurrency needs to be defined, said Villeroy, particularly what they are stable against and how fixed is their exchange rates.

The Governor also called for a network of national anti money laundering authorities that will be coordinated by the European Banking Authority in order to carry out emergency measures. This will work as a substitute for national authorities instead of creating a specialized European agency.

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

AnTy
AnTy
AnTy has been involved in the crypto space full-time for over two years now. Before her blockchain beginnings, she worked with the NGO, Doctor Without Borders as a fundraiser and since then exploring, reading, and creating for different industry segments.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,471FansLike
2,795FollowersFollow
4,197FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Bitcoin Moves: Options Market Indicate Bullish Price Outlook

This week, bitcoin is making its way upwards, albeit at an extremely slow pace. Yesterday, we went to nearly $9,500 but are currently trading...

CFTC Chair Is Ready to List More Crypto Based Futures; Just Waiting on SEC's Clearance

The Chairman of Commodity Futures Trading Commission (CFTC), Heath Tarbert, has said that they are waiting for SEC clearance on more digital assets to...

Mercedes-Benz Parent, Daimler AG, Pilots PoC Supply Chain Data Sharing System with Ocean Protocol

Daimler AG, the Mercedes Benz carmaker, has partnered with the decentralized data-sharing platform - Ocean Protocol. The partnership would help the Daimler to store their...

Insufficient Clarity for Regulations And Taxes May Force US Investors Move On: Coinbase Tax VP

The Chief Tax Officer of Coinbase, Lawrence Zlatkin, believes that lack of clarity in the US' crypto taxes could alienate prospective investors. He shared...

Chinese Ride-Hailing Unicorn, Didi Chuxing, to Pilot Digital Yuan; First Mass Scale Use of DCEP

China's 'Uber,' Didi Chuxing, will test run the digital yuan according to an announcement on July 8. The Chinese ride-hailing unicorn has over 500...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today