Libra, the cryptocurrency project launched by Facebook and its partners, will fail if it stays in its current form. This is the opinion of Ueli Maurer, the President of Switzerland. The politician expressed his ideas about how Libra project should be realized so that it can be approved by European regulators.
Maurer emphasized that in the current form, the Facebook cryptocurrency project has no chance of success. He said that the basket of currencies underneath certainly does not suit European central banks. In this regard, the project will fail in Europe.
It is worth noting that Libra project does not only concern European politicians, but regulators from different countries fear that Facebook’s launch of its own digital currency will enable the social network to influence credit policy and the global financial market.
This summer was originally planned for Libra’s launch but after heavy criticization by regulatory authorities, Facebook revised the planned date.
Facebook plans to provide Libra digital currency with bank deposits. This will allow the company to increase user confidence in its virtual currency, as well as eliminate the possibility of fluctuations in its exchange rate. The association established by Facebook and its partners will be responsible for the development of the project.