The US Senate Bank Committee has released the statements of David Marcus, head of Facebook's crypto letter Calibra today, July 15. The statements come to a hearing on the Libra cryptocurrency project tomorrow in the Senate, where Marcus will testify.
In his testimony, Marcus raised the issue of Facebook's upcoming stablecoin Libra and its associated digital wallet Calibra, which has previously criticized both community members, lawmakers and industry leaders. In particular, Marcus commented on the structure and governance of Libra and Calibra and their implications for trade and consumers.
Marcus writes that no single organization should be responsible for the Libra Blockchain and Libra Reserve; Instead, it should be a cooperation agreement. Thus, Facebook apparently works with the establishment of the Libra Association, which is an independent member organization. When Libra is launched, Facebook's role in managing the association would seem to be similar to the equation of other members.
According to Marcus, Facebook will not launch Libra until the company satisfies all conditions related to stablecoin regulation and receives appropriate approvals. Marcus continued:
"Government financial regulators will regulate Calibra as a money provider, and the Federal Trade Commission and Consumer Financial Protection Bureau will monitor consumer protection and privacy and security issues. Money Services Business. "
Marcus further stated that Libra is a payment tool, not an investment, which means that users will not be able to buy or hold it as a stock for later interest in it. Per Marcus, Libra is also different from other currency-supported stablecoins, as it will not have its value fixed to a single asset, and states:
"Libra will be fully supported on a one-to-one basis through the Libra Reserve, which will hold a basket of currencies in secure assets such as cash bank deposits and highly liquid, short-term government securities. These currencies will include US dollars, British pounds, euros and Japanese yen. "
Yesterday, a draft bill emerged entitled" Keep Big Tech out of Finance "online, allegedly derived from the US House of Representatives Financial Services Committee. The bill reads: "A large platform tool cannot establish, maintain, or operate a digital resource intended to be widely used as a means of exchange, billing, value or other similar function, as defined by the Federal Reserve System Management Board."