Bank of England working on strict British Libra regulations before its launch
|- The UK will have strict regulations around Facebook’s Libra project to be set out by the Bank of England.
- Given it will have exposure to the financial system it will have be regulated under normal rules.
The Bank of England is drafting strict British Libra regulations around the U.K. Facebook’s Libra, it is systemically important and will face stringent regulations whenever it is launched in the United Kingdom, according to the central bank.
At present the Bank of England has put the yet-to-launch cryptocurrency project on notice and mentioned that it would have to undergo tight monetary inspections in the country.
It needs to be regulated as per the current rules, given its exposure to the financial system. The ‘Financial Policy Committee’ (FPC) of the central bank detailed that regulators in Britain will undertake a detailed analysis of the Libra’s functions, its impact on the financial network and check whether current regulations will apply to Libra or not.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.