Facebook’s Libra is a Failure in its Current Form says Swiss President

According to the Swiss President, the controversial project by Facebook has ‘failed’ in its current form. Libra is currently seeking regulatory consent but needs reworking in order to be approved according to the Swiss president. 

Ueli Maurer, who is also the finance minister of Switzerland, said that Libra would not be accepted by central banks and therefore can not work as a currency. In an interview, Ueli Maurer told Swiss broadcaster SRF, 

“I don’t think (Libra has a chance in its current form), because central banks will not accept the basket of currencies underpinning it. The project, in this form, has thus failed.”

Libra was unveiled earlier this year and will be launched at some point in 2020. However, it has faced significant criticism from financial regulators and privacy advocates. 

The co-creator David Marcus of Facebook has said that due to the regulatory hurdles, the launch can be delayed beyond the scheduled June date. 

Libra is to be backed by a reserve of assets such as bank deposits and government debt held by a network of custodians. This structure is built in order to foster trust and avoid the price swings faced by other cryptocurrencies.

Disclaimer: The views and opinions expressed on this webpage or weblink are those of the author only, and are not necessarily the views or opinions of Shufti Limited. The material and information on this weblink is solely for general information purposes. You should not rely upon the material or information on the website as a basis for making any business or legal decision.

While we endeavor to keep the information up-to-date and/or correct, we make no representations or warranties of any kind, express or implied, or for any purpose about the completeness, accuracy, reliability, suitability, or availability of the contents or information herein. Any reliance on its content is thus entirely at your own risk.

For the avoidance of doubt, Shufti Limited will not be liable for any false, inaccurate, inappropriate, or incomplete information presented herein, and all liabilities with respect to actions taken, or not taken, based on the contents or information herein, or for any loss sustained by you as a consequence are hereby expressly disclaimed by us.