Facebook Libra boss: Stablecoin plans are unchanged

Facebook is working towards a 2020 launch for its controversial Libra digital currency, despite regulators’ hostility towards the project.

In an interview with Swiss newspaper NZZ, David Marcus, the head of Calibra at Facebook, said: “The goal is still to launch Libra next year. Until then, we’ll need to address all questions adequately, create a suitable regulatory environment.”

France and Germany have pledged to block Libra from operating in Europe. Marcus said it was unlikely Libra coins would become a means of payment for everyday transactions in those countries, but would rather be used for cross-border payments or micro-payments.

“It’s unlikely that people will pay for an espresso in Switzerland, Germany or France with Libra in the future,” he said. Initially, he added, user acceptance will be a bigger problem than regulatory issues.

Marcus also argued against any prospective threat to sovereign monetary policy from Libra. “Each Libra is deposited one-to-one with traditional currencies and no new money is created. There is no impact on interest and yields,” he commented. 

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