Facebook’s cryptocurrency, Libra, isn’t launching until 2020, but the stablecoin has already run into opposition. Recently, both France and Germany announced that they would not accept the social network’s cryptocurrency into their financial systems.
The announcement is reportedly a response to Facebook’s recent plan to seek a payments license for Libra in Switzerland. The two European countries released a joint statement on the matter, saying that “no private entity can claim monetary power, which is inherent to the sovereignty of nations”.
Also in response to Libra, the respective ministers of both countries said that it would instead back the development of an alternative public cryptocurrency instead.
To recap, Libra was officially announced back in June this year. The cryptocurrency is slated to be available on both Facebook Messenger and WhatsApp, with the goal of empowering and allowing users to send and transfer the digital coin to “almost anyone with a smartphone” and as “easily and instantly” as someone would send a text message or a media file.
To further validate its authenticity, Libra will be monitored and regulated by the Libra Association, a subsidiary comprising several financial organisations. Including Visa, Mastercard, and Paypal.