Data Protection Authorities Globally Concerned Over Facebook’s Blockchain Project

The Information and data privacy authorities from Australia, UK, Canada, U.S., and the European Union have issued a joint statement expressing concerns about the privacy risks posed by the Facebook blockchain project – Libra digital currency and infrastructure.

Source: OAIC media release statement

Given Facebook Inc involvement in the past data scandals and handling millions of users information which currently does not meet the expectations of regulators, concerns have raised that Libra project could risk users financial privacy.

Because of this, authorities have asked Libra’s Association members which include companies like Uber, Spotify, Mastercard, Visa, Paypal, etc and any future digital wallet providers to share how they plan to protect the user’s personal information.

The authorities are supportive of the economic and social benefits that new technologies can bring, but this must not be at the expense of people’s privacy.

Australian Information Commissioner and Privacy Commissioner Angelene Falk said:

“This is an important step in a global regulatory movement that is holding online companies to account for how they handle personal information.”

Since Facebook’s announcement of the Libra blockchain project, it has faced heavy scrutiny from regulators and legislators around the world. Facebook is yet to address the information handling practices that will be in place to secure and protect personal information.