Facebook’s Libra coin is becoming the center of attention these days – sometimes with positive bulletins while the other times alarming implications for privacy and power in the economy. However, the latest report reveals that the UK’s top three regulators are teaming up to scrutinize Facebook’s plan of launching Libra coin.
UK Regulators Seeks to Scrutinize Facebook Libra
According to the report, published by Bloomberg, states that UK’s financial conduct Authority (FCA), Bank of England (BOE) and U.K Treasury is collaborating to analyze the possible issue with Facebook’s Libra ahead of welcoming it as financial service.
So far we saw BOE’s public statement on Libra, and very recently the International Financial Stability Board (FSB) and the U.K’s Financial Conduct Authority (FCA) also found speaking about Libra publicly. As BOE Governor Mark Carney notes, Facebook has to meet the highest standard of regulations, FCA’s chief executive officer (CEO), Andrew Bailey thinks ‘Libra has the potential to be extremely significant’. He told to U.K. Parliament’s Treasury Committee on Tuesday.
“It does raise big issues for the public policy world.’’
But he also notes that they lack sufficient details to understand Facebook’s business model of launching Libra and how it will make money. Moreover, BOE’s Governor Mark Carney affirms that the central bank is approaching Facebook’s Libra “with an open mind but not an open door”.
After speaking openly about Libra, Mr.Bailey became one of the prominent policymakers concerning Libra’s launch quite seriously – while – other global leaders found criticizing it, including Congresswoman Maxine Waters called to halt Libra development until hearings can be held. Mr. Bailey, further states that;
“We will have to engage domestically and internationally, with Facebook and this other [Libra] organization. They are not going to walk through authorization without that. He again added, we have already engaged with Facebook and there will be many more engagements. We are waiting to see how the responsibility will divide between Facebook and the other organization,”