Fed Board Member: Libra Stablecoin Remains …

Fed Board Member: Libra Stablecoin Performance Remains Unproven Concept

Member advice Federal Reserve managers USA Lael Brainard this Wednesday commented on the Libra digital currency project, noting that him waiting for the “core set of legal and regulatory challenges”.

According to Brainard, the very concept of “stablecoin” as a more stable alternative ordinary cryptocurrencies remains “unproven”.

“What distinguished would Libra if it was launched, so this combination active custom base representing more third of the world’s population, with the emission of private digital currency, is not transparent tied to the basket of sovereign currencies. Without the necessary precautions networks stablecoins globally may put consumers at risk, “- quoted her Reuters words.

Brainard, like several other critics of Libra, recognizes the technology’s potential in the context of lowering costs and speeding up remittances. At that the same time, the existing monetary system has their benefits, she says.

“Given the rates, any global payments network must meet high legal and regulatory standards before than to her will be allowed to start, “- added Brainard.

Fed Board Member: Libra Stablecoin Remains ...

Previously with similar remarks Fed Chairman Jerome Powell made a speech. “I think that they are can’t go on, if most of the regulators are not will be satisfied themes, as company decides the problem of money laundering and the like. A number of doubts, which were designated by me in early, including data protection, privacy consumers and to that like, should be worked out very carefully and carefully “, – he said.