Facebook’s own currency,‘Globalcoin’ is trending on Google trend as the social media giant took yet another step to launch its coin in compliance with regulatory frameworks. Reports revealed that Facebook is in talks with US regulator over its Global coin digital currency.
Facebook Assessing GlobalCoin’s Future
The Commodity Futures Trading Commission (CFTC), a U.S. derivative regulator is reportedly the early stage regulator that Facebook has consulted. Reports add a comment of CFTC’s head Christopher Giancarlo. However, the key focus behind the talk is to understand whether or not Facebook’s Globalcoin falls under CFTC’s regulatory scope.
With 2.3 billion monthly active users (as per first quarter of 2019), this social giant is leading the way in the cryptocurrency industry with. In addition, user’s interest in Google trend for the term ‘Gloabalcoin’, is appearing on top of the graph on June 03, 2019.
Nevertheless, reports suggest that Facebook’s stablecoin feature might remove the need for a derivative linked to Globalcoin.
“We’re very interested in understanding it better. We can only act on an application, we don’t have anything in front of us.”
Moreover, the regulator’s major concern might be on Facebook’s focus on strict KYC and AML policies. In fact, according to reports, the US Treasury’s Financial Stability Oversight Council has its crypto group that overtakes the various crypto-oriented issues including the entry of financial entities to digital assets space. In specific, it also examines ‘“illicit activity undertaken with digital assets”.
So readers, what’s your take on Facebook’s step of discussing with CFTC? Let us know in the comment below.
Tabassum is a full-time content writer at Coingape. Her passion lies in writing and delivering apt information to users. Currently, she does not hold any form of cryptocurrencies. Follow her on Twitter at @Tabassumnaiz and reach out to her at Tabassum[at]coingape.com