Facebook’s Libra to a “be topic at next week’s G7 ministers meeting,” FED’s Jerome Powell
|- Libra raises a lot of concerns that must be addressed.
- The FED has no authority to regulate Facebook and Libra.
The chairman of the Federal Reserve Bank Jerome Powell in the second day of his semi-annual testimony on monetary policy before the U.S. House of Representatives Financial Services Committee, says the regulator does offer support for “responsible private sector financial innovation.”
Powell still maintained his remarks yesterday that Libra raises a lot of concerns that must be addressed. He added that he was in touch with other central banks around the world concerning the scope of Libra.
According to Powell, no single agency at the moment has oversight on matters relating to Libra and that the FED has no authority to regulate Facebook and Libra. However, the main issue at the moment is privacy and financial data.
Also Read: Bitcoin and Tron added to Opera’s Android built-in cryptocurrency wallet
Due to Libra’s potential to scale, it makes it systematically essential and therefore it should be accorded the “highest level of prudential regulation.” He continued to say that the norm is not negatively reactive to regulation “but this presents serious concerns.” In addition to that Powell said that “Libra will be a topic at the next week’s G7 ministers meeting.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.