U.S. Financial Services concerned about Facebook’s cryptocurrency

The U.S. Financial Services Committee after meeting with Swiss regulators remain concerned about Facebook’s plan to create a global cryptocurrency.

Swiss officals who were represented in the discussion with U.S. Financial Services Committee are –

– State Secretariat for International Financial Matters (SIF),
– Federal Data Protection and Information Commissioner (FDPIC),
– Financial Market Supervisory Authority (FINMA), and
– Swiss legislators.

Maxine Waters, Chairwoman of the House Financial Services Committee, issued the following statement after their meeting with Swiss regulators. The group discussed the status, complexity, and magnitude of Facebook’s proposed cryptocurrency, Libra.

“While I appreciate the time that the Swiss government officials took to meet with us, my concerns remain with allowing a large tech company to create a privately controlled, alternative global currency.”

“I look forward to continuing our Congressional delegation, examining these issues, money laundering, and other matters within the Committee’s jurisdiction.”

– Congresswoman Maxine Waters (D-CA), Chairwoman of the House Financial Services Committee

In July, Chairwoman Waters and other Committee Democrats called for a temporary prohibition of implementing Facebook’s proposed cryptocurrency and digital wallet, until Congress enacts an appropriate legal framework.

Things are not looking good for Facebook. Last week, The Financial Times reported that at least 3 of the 27 Libra’s founding governing members are looking to distance themselves from the project. The reasons highlighted were- rising regulatory concerns and worrying about publicly supporting Facebook’s cryptocurrency.