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Steven Mnuchin Is ‘Fine’ With Facebook Creating Digital Currency, But It Must ‘Fully’ Comply With AM

Steven Mnuchin, the Secretary of the US Treasury, has no issue with the launch of the Facebook-led Libra project, as long as financial rules are followed.


Libra Launching early https://t.co/SAagOq9cIl — Bit Coins Bank © (@BankBitCoins) December 7, 2019

On December 5, it has been reported by Bloomberg that Mnuchin is ‘fine’ with Libra launch.

He said:

“I’m fine if Facebook wants to create a digital currency, but they need to be fully compliant with financial secrecy and anti-money laundering rules. In no way can this be used for terrorist financing.”

However, Mnuchin was speaking in Washington, D.C. at a hearing of the House Financial Services Committee in response to a question from a lawmaker.


Steven Mnuchin, secretary of the U.S. Treasury, has no issue with the launch of the Facebook-led Libra project – as long as financial rules are followed to the letter. "Mnuchin ‘Fine’ With Libra Launch, But Crypto Project Must ‘Fully’ Comply With AML Rules" … — CryptoCoinsMarket (@ccoinmarket) December 6, 2019

Since Libra was announced in June, much to the ignorance of the globe’s regulators and central banks, Mnuchin indicated that he met with Facebook a dozen times to talk over regulatory concerns. That’s slowed the pace of the payments project’s move toward launch.

Likewise, Libra will be a stablecoin for payments through Facebook platforms and other wallets and products and is likely to be pegged to a basket of national currencies and government bonds.

Bloomberg wrote that at the hearing, Mnuchin also said that the US is unlikely to develop a digital currency in the near term.

Mnuchin added:

“[Federal Reserve Chair Jerome] Powell and I have discussed this – we both agree that in the near future, in the next five years, we see no need for the Fed to issue a digital currency.”

<img src="https://www.cryptonewspoint.com/wp-content/uploads/2019/12/107758669_getty_composite.jpg" alt="" class="wp-image-6755 lazyload" width="461" height="259" />

Thus, the hearing saw questions over China‘s plans to launch a digital yuan in the near future. The European Central Bank also made comments recently that it might launch a digital currency if traditional payment methods are not improved for consumers.

Source: bloomberg.com |coindesk.com

 
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