20 minutes – Facebook plans meet resistance around the world


Facebook comes with its plans for a worldwide resistance to cryptomidea developed by the country itself. Politicians and consumer advocates are concerned about privacy. "Facebook has repeatedly sneered at data on billions of people and their protection," said Democratic Rep. And US Finance Committee chairman Maxine Waters.

"With the announcement of creating a crypto-crash, Facebook continues its uncontrolled expansion and extends its reach to the lives of its users." She has called on the world's largest social network to put its plans for the cyber currency called "Libra" on hold. and await the investigations of the authorities.

Mistrust about the data

Facebook is again facing prosecutions for careless protection of users' privacy. The group is already very large and very powerful and uses the data of its users, without its privacy to protect enough, criticized Sherrod Brown, a Democrat on the US Senate Banking Committee. "We can not allow Facebook to run a new risk encryption in an unsupervised Swiss bank account." Deputy Patrick McHenry requested a hearing from Facebook's representatives on the plans.

Distrust is also high in Europe: French Finance Minister Bruno Le Maire has called for greater control of technology giants such as Facebook. "This money will allow Facebook to collect millions of dollars worth of data, reinforcing my belief that it is necessary to regulate digital giants," he told Radio Europe 1.

Plans for Libra should alert regulators to alarm, European MEP Markus Ferber (CSU) said. The European Commission should therefore start working on the legal framework for cryptographic coins.

Shake the financial system

In the first half of 2020, Facebook plans to launch a self-developed crypto-crash. Libra is designed to allow users to send money to each other and buy merchandise from companies. A company spokesman said Facebook will answer all questions in the legislature. Talk to the authorities of the United States and Switzerland, where the company behind the Pound is registered.

With Libra, Facebook wants to get into global payments and industry experts hope that this could shake the traditional financial system. Plans are backed by well-known companies such as Mastercard, PayPal and Spotify. "The Facebook Libra project is innovative in size, claim and likelihood of success and can greatly accelerate the distribution of encryption coins," said Hartmut Giesen, technology specialist at Sutor Bank in Hamburg.

Transfer funds

Libra could be a pioneer in the so-called remittance sector, that is, the business of transferring funds from migrants to their homeland, explained Andreas Pratz, a PwC for Financial Services specialist.

Unlike the larger and better known crypto-bitco bitcoin, Libra is said to be connected to a basket of several currencies, especially the US dollar. This is to avoid fluctuations in value as in Bitcoin. Bitcoin is a digital currency made by computing complex computer algorithms and is not tied to any other currency.



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