Benoit Coeure, a member of the ECB's board of directors, has said that Libra, Facebook's stablecoin, will not be officially released until regulators around the world are fully satisfied.
Coeure said in a statement to Reuters on 18 July during the G7 summit in France that the social network must be able to guarantee the safety of Libra users before it is launched. He said:
"[Libra]'s got to be safe, robust and resilient from day one. It’s not a learning process: either it works or it doesn't."
He added that, before being able to guarantee the protection of users' privacy and property rights, the firm will have to convince regulators around the world, and this is not easy at all:
"Down the road we might find that there are gaps or inconsistencies that would require a prolonged discussion by regulators on how to do it differently. Authorities are not going to let any such projects happen before we have answers to our questions and before we have the right regulatory framework."
The first hearings on Libra were held last week in the U.S. Congress. During these hearings, David Marcus, the project leader, tried to answer all the questions. However, he eluded some or simply could not provide a satisfactory answer.
Regulators around the world are concerned about the consequences that Facebook's new stablecoin, which was presented on June 18, might have on several fields (financial stability, monetary policy) given the social network's massive user base.
Subscribe to our Telegram channel to stay up to date on the latest crypto and blockchain news.