Ever since the launch of its whitepaper, Libra had faced severe scrutiny by many countries. As Facebook has a user base of billions, its crypto project Libra is destined to impact the world. Unclear about the influence Libra would be causing in the future, countries have treated Libra so harshly that CEO of Ripple Brad Garlinghouse doesn’t see project launching before 2023.
The regulations have set back the project to such an extent that Garlinghouse who previously was optimistic for Libra isn’t ecstatic anymore. During an interview, Garlinghouse shared his latest sentiments:
I would bet that Libra… let’s say, by the end of 2022, I think Libra will not have launched.
Ripple’s CEO who once was so delighted for Facebook’s crypto project that he sent a bottle of celebratory champagne to the creator Libra has completely withdrawn his hopes for Libra. According to him, due to regulations against Libra, the project wouldn’t be able to follow through on the vision it originally laid out.
Extending his views, Garlinghouse even said that the future of Libra could’ve been better only if it hadn’t belonged to Facebook. This shows that Libra is mainly targetted because it belongs to Facebook. In this regard, Garlinghouse’s exact words were:
I think maybe [Libra] would have been better received if Facebook had not been the point of the arrow. Facebook has been in the crosshairs of a bunch of governments around the world. I think it’s going to be a tough road.
Facebook’s Libra which was expected to promote cryptocurrencies and ease the mass adoption has gone through some serious opposition and scrutiny by several countries right from the beginning. When the social media giant officially announced details about its crypto project and released a whitepaper, within the next 24 hours, the U.S congress called Libra representatives for a hearing.
Similarly, a few weeks ago, French Finance Minister, Bruno Le Maire spoke against Libra. Maire was quite straightforward while delivering his speech at the OECD conference. At that time, he clarified that as Libra posed a threat to the sovereignty of the government, it won’t be authorized in the European region.
Some of the biggest US banks also shed bad light on Facebook’s endeavor while recording their responses to the Federal Reserve (FED). Banks going ahead event stated that Libra could reduce the ability of states to influence, monitor and manage local economies. Several months ago, US President Donald Trump also didn’t hesitate a bit before unleashing on Libra.
….Similarly, Facebook Libra’s “virtual currency” will have little standing or dependability. If Facebook and other companies want to become a bank, they must seek a new Banking Charter and become subject to all Banking Regulations, just like other Banks, both National…
— Donald J. Trump (@realDonaldTrump) July 12, 2019
Despite opposition and disapproval of regulators, the team behind Libra is positively looking forward to the feedback and criticism as team members plan to launch Libra only after satisfying regulators.
Facebook will not be controlling its own crypto because Libra Association, the authority ruling over Libra and comprised of several members, will be in charge of the stablecoin created by Facebook.
So far, apart from Facebook, the impact of polices against Libra has also reached the members of Libra Association. A few days ago one of the member Paypal was suspected to leave the association very soon.
Libra, a cryptocurrency that will be pegged to several assets, is struggling to gain the trust of governments and authorities all over the world. Let’s see if Libra is able to overcome rules and regulations limiting its success.