Facebook Makes Changes to Libra Crypto Project

Facebook is making changes to the Libra Project. The company is planning to support existing fiat currencies alongside the Libra token when it launches.

05 March, 2020 | AtoZ Markets – When Facebook revealed Libra, it intended to create a single global digital currency. Especially, 1.7 billion people do not have a bank account. They could send money anywhere in the world at little cost as quickly as sending a text. In October, the world’s largest economies warned that cryptocurrencies like Libra pose a risk to the global financial system. Moreover, France also declared that it threatens the “monetary sovereignty” of governments; others have warned that it could be used for money laundering and other malicious purposes.

Facebook Changing Course on Libra

Facebook is rethinking its plans for its own digital currency (Libra) after resistance from several regulators. Now, Facebook Inc. and its partners plan to change the Libra project so that the network accepts several coins. It includes those issued by central banks, to woo reluctant global regulators and revive the plan.

The Libra association, which Facebook founded to create the currency, will continue its work, according to reports. The plan will include Libra, the company said. However, the social network’s digital wallet is now slated to launch this fall, several months later than planned, according to reports. Among previous reports, the company said it could abandon Libra itself. But, now “Facebook remains fully committed to the project.”

Read More: UK FCA Warns Against Crypto Exchange Bitmex

Facebook announced in June of last year that it would launch the digital currency Libra, to make payments easier and cheaper. Facebook and Libra officials were travelling the world speaking at conferences past few months. They argued that a payment network like Libra could lower the cost of money transfers. David Marcus, executive of Facebook and co-founder of Libra, said: 

The Libra network would not prevent projects from central banks.

The partners of the Libra association include Lyft, Spotify. But several other prominent members like Visa left after the authorities criticized the idea. The head of policy and communications of the Libra Association, Dante Disparte, also said: 

“The Libra Association has not changed its goal of building a global payment network that complies with regulations. The design principles of that support this goal have not changed, nor has the potential of this network to foster future innovation. “

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