Facebook’s Libra cryptocurrency again comes under fire from global policymakers

  • France’s Finance Minister Bruno Le Maire again warns against Facebook’s Libra becoming a “sovereign currency.”
  • The Bank of England’s Mark Carney says Facebook cannot “learn on the job,” adding that Libra must be “rock solid.”
  • Unlike bitcoin, Libra is being created with the intention of maintaining a stable value to prevent volatility.

Facebook’s planned cryptocurrency hasn’t even launched yet, but it’s been the talk of the town for politicians and central bankers worldwide.

The social network’s digital token, called Libra, continues to be faced with warnings from the international community, amid ongoing worries about its regulatory implications.

French Finance Minister Bruno Le Maire on Thursday reiterated that he was against the idea of Libra becoming a “sovereign currency” that gives it the chance to compete with government-backed currencies like the euro.

“My determination to make sure that Facebook’s … Libra project does not become a sovereign currency that could compete with the currency of states is … absolute,” Le Maire said in a speech to the French Senate Thursday. “Because I will never accept that corporations could become private states.”

Le Maire was addressing the Senate as France readies a contentious new tax aimed at making technology giants like Facebook, Google and Amazon pay their fair share. The Senate approved the levy Thursday morning, a move that will likely anger the U.S.

But French officials aren’t the only ones casting doubt on Facebook’s Libra. Just a day earlier, Federal Reserve Chairman Jerome Powell called on the social network to halt plans for its digital token, worried regulators are lacking answers from the company on matters such as privacy and consumer protection…

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