US Treasury Secretary: I don’t mind the Libra launch when …

Treasury Secretary: I Have No Objection To Launching Libra Subject To Compliance

US Treasury Secretary Stephen Mnuchin ultimately can not be an inveterate opponent of private initiatives by creation of digital currencies, unlike some of their colleagues.

Answering a question from lawmakers regarding Facebook’s Libra stablecoin and its own digital currency People’s Bank of China, he stated: “I do not mind, if Facebook wants to create digital currency, but they are must respect everything applicable requirements related to Bank Secrecy Law and Anti-Banking Rules laundering of money. It is impossible admit, so that it used for financing of terrorism “.

US Treasury Secretary: I don't mind the Libra launch when ...

Mnuchin reported, what he already held dozens of meetings with Facebook representatives, where he invariably voiced his regulatory doubts, which slowed down the development of the project.

He also rejected possibility launch of the national digital currency in USA in the foreseeable future: “Chairman [FRS Jerome] Powell and I discussed this question and came in the opinion that in the near future, over the next five years, the Fed will not will be the need to issue digital currency “.

Powell in a letter to Rep. French Hill reported, that the Fed is not currently developing a digital currency, but examines the benefits and costs her issue: “We are closely following per activities of other central banks to identify potential benefits, which may be relevant in the USA “.

US Treasury Secretary: I don't mind the Libra launch when ...

Before than develop a digital currency, the Fed needs to eliminate operational risks associated, for example, with opportunity cyberattacks, transparency, monetary policy and financial stability, he added.