The regulatory scrutiny over Libra in the United States continues. Now, the House Financial Services Committee of the country has recently invited more people who work on Facebook to testify. The latest two executives that were invited were Facebook’s COO Sheryl Sandberg and CEO Mark Zuckerberg, who will need to attend before January 2020.
Sandberg is set to be the second executive of the company to testify. She will talk about the proposal for the Libra stablecoin and its Calibra wallet. Advertising policies of the company are also set to be important topics during the discussion. Recently, Facebook was sued for discriminatory practices in the housing market because of its ads.
Before her, the CEO of Calibra, David Marcus testified. He talked about the goals of the company and its anti-money laundering policies.
The commission is currently chaired by the Republican Maxine Waters, who was one of the most skeptical people in the committee. She is concerned that Facebook failed to protect user data and that malicious foreign actors could use Libra to purchase ads. She had requested Facebook to halt work on Libra some months ago.
While the committee is focused on finishing the process before the end of the year, Zuckerberg must appear for that to happen. He is one of the key people behind Libra, so he must be heard.
The situation of the Libra seems dire, but in a recent leaked audio Zuckerberg affirmed that public hearings tend to be very dramatic while “private meetings” with regulators are more
“substantive and less dramatic”.