Consumer Protection Groups Ask Libra Association Members to Abandon the Project
Main page News, Facebook, Cryptocurrency
Hot topic
July 19, 2019
76 76

Four consumer protection groups - Open Markets Institute, Public Citizen, Demand Progress Education Fund and Revolving Door Project - have asked the 27 founding members of the Libra Association to abandon the social network' project.

These groups sent a letter to the project participants on Thursday asking them to stop their collaboration with the project due to the serious competitive, political, social and financial implications it has.

According to them, the aims of the project are not clear at all and its leadership structure is based on fear.

They have said in the letter:

"We call upon you as respected members of the business, financial, technology, and civil society communities to collectively withdraw from the Libra project."

When they say that the structure of the project is based on fear, they are basically thinking about the enormous influence the social network has thanks to its massive user base.

These 4 consumer protection groups have also made reference to other reasons why the project should be abandoned, such as "Libra's potential to facilitate money laundering, terrorist financing, bank runs, systemic risk, evasion of sanctions, and anti-competitive activity."

Just a few days ago the first hearings on Facebook's Libra were held in the U.S. Congress. Right after the first hearing, bitcoin's price fell almost $1,000 till $9,500 due to the implications the social network's project might have on the crypto market as a whole. All decisions made during these hearings could become a precedent for the further regulation of the crypto industry.

Subscribe to our Telegram channel to stay up to date on the latest crypto and blockchain news.

Read also:
Please describe the error