David Marcus, the spearhead of Facebook’s Libra Project bragged about the social media giant’s highly anticipated stablecoin and its potential to curb money laundering practices in the best possible way in comparison to the current payments systems. The Libra chief shared his views on the cryptocurrency project while addressing an audience at the Money 20/20 USA meet, which was organized in Las Vegas between 27 to 30 October 2019.
“If you want to change the way that money moves around, there is no better way,” quoted Marcus while explaining about the Libra project. He added that
AML is something we need to address, and…the efficacy of sanction enforcing can be much higher on Libra than other payments networks. Digital to digital is more traceable than when cash in involved and will be more secure as it will run on real-time systems.
David Marcus affirmed that blockchain technology can trigger a more secure, transparent, and reliable payments ecosystem. The leader stated that
The open ledger – the blockchain – enables regulators to look at what is happening themselves and identify where the risk is without relying on reports. The onus is on us to do that work and now that we have the governance structure in place, we can now demonstrate this improvement.
As per the reports, if everything falls into the right place, Facebook will kickstart the launch of Libra across its widespread network of 2.4 billion users in 2020.
Marcus initiated his interaction by saying that the regulatory pressure which Libra is facing from around the world assures that it is on the right path.
The most meaningful innovations that have changed the lives of millions across the world in a profound way have always been met with damning headlines,
He added that the 21 members of the Libra Association, the nurturer of the Libra project, are committed to make the long-awaited and controversial solution a sure shot success. Marcus said that the stablecoin has the capacity to “change the direction of the world.”
Libra has been subjected to backlash from regulators around the world. China has been at the forefront in showing concerns towards the proliferation of Libra into the marketspace. Earlier in September, Bertrand Perez, the General Director of Libra Association, announced that “the Renminbi will not be part of,” the reserve currencies pool which will support Libra.
There is an air of fear amongst governments that Libra roll-out will make people quit the use of their native currency for the Libra coins. Some other authorities opined that Libra could aid the expansion of illicit activities while taking advantage of Facebook’s widescale approach in the market.
These headlines are a preamble to more hard times ahead, and we must govern the network into a place where it will meet regulatory standards, then we will see the network come to life. People deserve much better than they have,
He concluded, saying that
It is all about the people and we believe that there is still no network that is truly global and opens doors to people all over the world.” He added that “We have a full one to one back reserve, there is no money creation whatsoever.