US Banking Committee Senate Sets Hearing For Facebook’s Crypto Project

The US Banking Committee Senate has officially set a hearing in which it will hear testimony on the mega popular Facebook Libra cryptocurrency project which is everywhere in the coming altcoin news. Set for July 16, the hearing will address many questions in regards to the new cryptocurrency.

As the economic news site MarketWatch reported on June 19, the social media giant released the white paper for its Libra token yesterday. This stablecoin will operate on a native eponymous blockchain and will apparently be backed by a basket of reserve assets that are “designed to give it intrinsic value” and mitigate some volatility fluctuations.

Following the official release of the project, he US banking committee and regulators from it expressed their concern about the project’s possible effects towards financial stability. For example, Rep. Maxine Waters, who is a chairwoman of the United States House of Representatives’ Financial Services Committee, demanded that Facebook should halt the project’s development during this in-depth regulatory investigation.

“Given the company’s troubled past, I am requesting that Facebook agree to a moratorium on any movement forward on developing a cryptocurrency until Congress and regulators have the opportunity to examine these issues and take action.”

On July 16, the US Banking Committee will hold a hearing titled “Examining Facebook’s Proposed Digital Currency and Data Privacy Considerations.” Jerome Powell, who is the head of the US Federal Reserve, was featured on many best cryptocurrency news sites for his recent announcement in which he said:

“[Facebook] has made quite broad rounds around the world with regulators, supervisors and lots of people to discuss their plans and that certainly includes us.”

As government officials in other countries noted, there is a lot of doubts and concerns about the new Facebook project. One of them was the French Minister of Economy and Finance Bruno Le MAire, who noted that the government intends to “ask for guarantees” from Facebook in regards to its Libra cryptocurrency project.

Earlier today, other altcoin news spread showing that the Chairman of the Russian State Duma Committee on Financial Markets, Anatoly Aksakov, said that the country won’t legalize the use of Facebook’s Libra cryptocurrency.