Facebook Defends Libra in the US Senate, Has No Plans for India


The Monetary Authority of Singapore (MAS) remained in talks with Facebook about the United States social media platform's plans for Libra and would consider "appropriate regulatory responses" once specifics about the cryptocurrency were provided, said Senior Minister Tharman Shanmugaratnam, who oversees the central bank.

PBoC officials voiced worries that the new digital currency could have destabilising effects on the financial system and stated the bank would step up its own efforts to create an e-currency.

Last month, Facebook unveiled plans for Libra. "We have to move more quickly than we've been able to do up until now". Wang Xin, the director of the People's Bank of China (PBoC) expressed concerns over the potential of a small group of tech companies controlling a centralized digital token that could ultimately impact global finance as reported by South China Morning Post. And it may inspire the bank to accelerate its plans to speed up its own project to develop a digital currency. But there would be in essence one boss, that is the U.S. dollar and the United States. His criticism follows briefly a critical look at the development by directors at the European Central Bank (ECB) and the British regulator. Wang's discussion of the matter indicates it might also be used as a reference for bank interest rates on deposits.

Social media giant Facebook is working to ease concerns by lawmakers in Washington, D.C. about its new cryptocurrency project Libra, co-launched with 27 partners. In response, China's central bank has ramped up its exploration of a central bank digital currency (CBDC).

Li Zhenhua, executive director of the Ant Financial Research Institute, part of the Alibaba Group, said the market is anxious about whether Libra will develop into a type of credit money. The department, primarily in charge of traditional currency management, is shifting to digital currency innovation because the use of cash is declining in China amid booming digital payment systems.